Tanzania Toy Company produced 10,000 stuffed bears. The standard direct-material allowance is 1.75 kilograms per bear, at
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Tanzania Toy Company produced 10,000 stuffed bears. The standard direct-material allowance is 1.75 kilograms per bear, at a cost per kilo of Sh3. Actually, 16,500 kilos of materials (input) were used to produce the 10,000 bears (output).
Similarly, the standard allowance for direct labour is 4.6 hours to produce one bear and the standard hourly labour cost is Sh6. But 48,000 hours (input) were used to produce the 10,000 bears. Compute the quantity variances for direct materials and direct labour.
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Related Book For
Introduction To Management Accounting
ISBN: 9780273737551
1st Edition
Authors: Alnoor Bhimani, Charles T. Horngren, Gary L. Sundem, William O. Stratton, Jeff Schatzberg
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