During May, Joliet Fabrics Corporation manufactured 630 units of a special multilayer fabric with the trade...

Transcribed Image Text:

During May, Joliet Fabrics Corporation manufactured 630 units of a special multilayer fabric with the trade name Stylex. The following information from the Stylex production department also pertains to May. Direct material purchased: 19,300 yards at $1.51 per yard Direct material used: 10,800 yards at $1.51 per yard Direct labor: 3,400 hours at $9.28 per hour $ 29,143 16,308 31,552 The standard prime costs for one unit of Stylex are as follows: Direct material: 20 yards at $1.48 per yard Direct labor: 5 hours at $8.00 per hour $29.60 40.00 Total standard prime cost per unit of output $69.60 Required: Compute the following variances for the month of May. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance). 1. Direct-material price variance 2. Direct-material quantity variance 3. Direct-material purchase price variance 4. Direct-labor rate variance 5. Direct-labor efficiency variance During May, Joliet Fabrics Corporation manufactured 630 units of a special multilayer fabric with the trade name Stylex. The following information from the Stylex production department also pertains to May. Direct material purchased: 19,300 yards at $1.51 per yard Direct material used: 10,800 yards at $1.51 per yard Direct labor: 3,400 hours at $9.28 per hour $ 29,143 16,308 31,552 The standard prime costs for one unit of Stylex are as follows: Direct material: 20 yards at $1.48 per yard Direct labor: 5 hours at $8.00 per hour $29.60 40.00 Total standard prime cost per unit of output $69.60 Required: Compute the following variances for the month of May. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance). 1. Direct-material price variance 2. Direct-material quantity variance 3. Direct-material purchase price variance 4. Direct-labor rate variance 5. Direct-labor efficiency variance

Answer rating: 100% (QA)

Answer Solution Direct materials price variance 10800151148 324 ... View the full answer