P3-uz Company produces leather sandals. The company employs a standard costing system and has the following...
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P3-uz Company produces leather sandals. The company employs a standard costing system and has the following standards in order to produce one pair of sandals: standard quantity 2 leather strips standard price ?? per strip $12 per hour ?? per hour direct materials direct labor 2.5 hours variable overhead 2.5 hours During May, P3-uZ purchased leather strips at a total cost of $124, 250 and had direct labor totaling $154,760. During May, P3-uz used 16,300 leather strips in the production of sandals. P3-uz had no beginning inventories of any type for May. At May 31, P3-uz had 600 leather strips remaining in its direct materials inventory. P3-uz Company reported the following variances for May: Direct material price variance $40, 525 favorable $27,560 unfavorable $37,240 favorable $ 9,280 unfavorable Direct labor rate variance Total direct labor variance Variable overhead spending variance Variable overhead efficiency variance $60,480 favorable ....... Calculate P3-uZ's direct material quantity variance for May. If the variance is favorable, place a minus sign in front of your answer (i.e., -5000). If the variance is unfavorable, simply enter your answer as a number (i.e., 5000). P3-uz Company produces leather sandals. The company employs a standard costing system and has the following standards in order to produce one pair of sandals: standard quantity 2 leather strips standard price ?? per strip $12 per hour ?? per hour direct materials direct labor 2.5 hours variable overhead 2.5 hours During May, P3-uZ purchased leather strips at a total cost of $124, 250 and had direct labor totaling $154,760. During May, P3-uz used 16,300 leather strips in the production of sandals. P3-uz had no beginning inventories of any type for May. At May 31, P3-uz had 600 leather strips remaining in its direct materials inventory. P3-uz Company reported the following variances for May: Direct material price variance $40, 525 favorable $27,560 unfavorable $37,240 favorable $ 9,280 unfavorable Direct labor rate variance Total direct labor variance Variable overhead spending variance Variable overhead efficiency variance $60,480 favorable ....... Calculate P3-uZ's direct material quantity variance for May. If the variance is favorable, place a minus sign in front of your answer (i.e., -5000). If the variance is unfavorable, simply enter your answer as a number (i.e., 5000).
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Actual total quantity 16300 leather production Number of strips purchased Actual total quantit... View the full answer
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