Direct materials Variable manufacturing overhead Direct labor Total standard cost per unit Standard Quantity or Hours ? Standard Price or Rate $3.00 per yard Standard Cost $ ? 7 7 2 $2 per direct labor-hour $7 Overhead is applied to production on the basis of direct labor-hours. During March, 570 backpacks were manufactured and sold. Selected information relating to the month's production is given below: Total standard cost allowed Actual costs incurred Materials price variance Materials quantity variance Labor rate variance Materials Used $ 8,550 $ 6,080 Direct Labor $ 6,384 ? $ 570 U Variable Manufacturing Overhead $ 1,596 $ 2,812 Labor efficiency variance Variable overhead rate variance Variable overhead efficiency variance "For the month's production. The following additional information is available for March's production: Actual direct labor-hours Difference between standard and actual cost per backpack produced during March Required: 855 $0.20 F Hint: It may be helpful to complete a general model diagram for direct materials, direct labor, and variable manufacturing overhead < Prev 4 of 4 Next