Each finished guitar contains seven pounds of veneered wood. In addition, one pound of wood is...

 

  
 
 

 

 

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Each finished guitar contains seven pounds of veneered wood. In addition, one pound of wood is typically wasted in the production process. The veneered wood used in the guitars has a standard price of $14 per pound. The other parts needed to complete each guitar, such as the bridge and strings, cost $17 per guitar. The labor standards for Springsteen's two production departments are as follows: Construction Department: 5 hours of direct labor at $20 per hour Finishing Department: 3 hours of direct labor at $17 per hour The following pertains to the month of July. 1. There were no beginning or ending work-in-process inventories in either production department. 2. There was no beginning finished-goods inventory. 3. Actual production was 690 guitars, and 490 guitars were sold on account for $495 each. 4. The company purchased 7,900 pounds of veneered wood at a price of $14.50 per pound. 5. Actual usage of veneered wood was 6,400 pounds of the wood purchased during July. 6. Enough parts (bridges and strings) to finish 790 guitars were purchased at a cost of $9,190. 7. The Construction Department used 3,200 direct-labor hours. The total direct-labor cost in the Construction Department was $60,800. 8. The Finishing Department used 2,150 direct-labor hours. The total direct-labor cost in that department was $38,700. 9. There were no direct-material variances in the Finishing Department. Complete the table below that compute the July direct material price and quantity variance in the Construction Department. (Indicate the effect "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance). Round "Actual Price" and "Standard Price" to 2 decir Actual Material Cost Actual Quantity 6,400 pounds used $ 92,800 Actual Price $ 14.50 per pound Direct-material price variance Direct-Material Price and Quantity Variances Projected Material Cost Actual Quantity 6,400 pounds used Unfavorable $ 89,600 Standard Price per pound Direct-material variance 14.00 Unfavorable 1649A Standard Material Cost Standard Quantity pounds allowed Unfavorable Direct-material quantity variance Reg 28 > Standard Price per pound Req 2A Req 2B Actual Quantity Complete the table below that compute the July direct material purchase price variance in the Construction Department. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (1.e., zero variance). Round "Actual Price" and "Standard Price" to 2 decimal places.) Direct-Material Purchase Price Variance Actual Material Cost 7,900 pounds purchased i Req 2C $ X Reg 2D 114,550 Actual Price $ 14.50 per pound. Actual Quantity Projected Material Cost Unfavorable pounds purchased 7,900 < Req 2A Direct-material purchase price variance K X Req 20 > Standard Price per pound Reg 2A Req 28 Actual Labor Cost Actual Hours 3,200 hours used. Complete the table below that compute the July direct-labor rate and efficiency variances in the Construction Department. (Indicate the effect of each "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance). Round "Actual Rate" and "Standard Rate" to 2 decimal plat Reg 2C $ 60,800 Actual Rate $ 19.00 per hour Req 2D Direct-labor rate variance Direct-Labor Rate and Efficiency Variances Projected Labor Cost Actual Hours hours used Favorable Standard Rate per hour Favorable Direct-labor variance Standard Labor Cost Standard Hours hours allowed Favorable Direct-labor efficiency variance Standard Rate per hour Complete this question by entering your answers in the tabs below. Req 2A Actual Labor Cost Actual Hours Reg 28 Complete the table below that compute the July direct-labor rate and efficiency variances in the Finishing Department. (Indicate the effect of each variance "Unfavorable". Select "None" and enter "0" for no effect (1.e., zero variance). Round "Actual Rate" and "Standard Rate" to 2 decimal places.) 2,150 hours used M Reg 2C $ 38,700 Actual Rate $ 18.00 per hour Req 2D Direct-labor rate variance Direct-Labor Rate and Efficiency Variances Projected Labor Cost Actual Hours hours used Unfavorable M 4 Standard Rate per hour Unfavorable Direct-labor variance < Req 20 Standard Hours Standard Labor Cost hours allowed Unfavorable Direct-labor efficiency variance Ban 20 M Standard Rate per hour Each finished guitar contains seven pounds of veneered wood. In addition, one pound of wood is typically wasted in the production process. The veneered wood used in the guitars has a standard price of $14 per pound. The other parts needed to complete each guitar, such as the bridge and strings, cost $17 per guitar. The labor standards for Springsteen's two production departments are as follows: Construction Department: 5 hours of direct labor at $20 per hour Finishing Department: 3 hours of direct labor at $17 per hour The following pertains to the month of July. 1. There were no beginning or ending work-in-process inventories in either production department. 2. There was no beginning finished-goods inventory. 3. Actual production was 690 guitars, and 490 guitars were sold on account for $495 each. 4. The company purchased 7,900 pounds of veneered wood at a price of $14.50 per pound. 5. Actual usage of veneered wood was 6,400 pounds of the wood purchased during July. 6. Enough parts (bridges and strings) to finish 790 guitars were purchased at a cost of $9,190. 7. The Construction Department used 3,200 direct-labor hours. The total direct-labor cost in the Construction Department was $60,800. 8. The Finishing Department used 2,150 direct-labor hours. The total direct-labor cost in that department was $38,700. 9. There were no direct-material variances in the Finishing Department. Complete the table below that compute the July direct material price and quantity variance in the Construction Department. (Indicate the effect "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance). Round "Actual Price" and "Standard Price" to 2 decir Actual Material Cost Actual Quantity 6,400 pounds used $ 92,800 Actual Price $ 14.50 per pound Direct-material price variance Direct-Material Price and Quantity Variances Projected Material Cost Actual Quantity 6,400 pounds used Unfavorable $ 89,600 Standard Price per pound Direct-material variance 14.00 Unfavorable 1649A Standard Material Cost Standard Quantity pounds allowed Unfavorable Direct-material quantity variance Reg 28 > Standard Price per pound Req 2A Req 2B Actual Quantity Complete the table below that compute the July direct material purchase price variance in the Construction Department. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (1.e., zero variance). Round "Actual Price" and "Standard Price" to 2 decimal places.) Direct-Material Purchase Price Variance Actual Material Cost 7,900 pounds purchased i Req 2C $ X Reg 2D 114,550 Actual Price $ 14.50 per pound. Actual Quantity Projected Material Cost Unfavorable pounds purchased 7,900 < Req 2A Direct-material purchase price variance K X Req 20 > Standard Price per pound Reg 2A Req 28 Actual Labor Cost Actual Hours 3,200 hours used. Complete the table below that compute the July direct-labor rate and efficiency variances in the Construction Department. (Indicate the effect of each "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance). Round "Actual Rate" and "Standard Rate" to 2 decimal plat Reg 2C $ 60,800 Actual Rate $ 19.00 per hour Req 2D Direct-labor rate variance Direct-Labor Rate and Efficiency Variances Projected Labor Cost Actual Hours hours used Favorable Standard Rate per hour Favorable Direct-labor variance Standard Labor Cost Standard Hours hours allowed Favorable Direct-labor efficiency variance Standard Rate per hour Complete this question by entering your answers in the tabs below. Req 2A Actual Labor Cost Actual Hours Reg 28 Complete the table below that compute the July direct-labor rate and efficiency variances in the Finishing Department. (Indicate the effect of each variance "Unfavorable". Select "None" and enter "0" for no effect (1.e., zero variance). Round "Actual Rate" and "Standard Rate" to 2 decimal places.) 2,150 hours used M Reg 2C $ 38,700 Actual Rate $ 18.00 per hour Req 2D Direct-labor rate variance Direct-Labor Rate and Efficiency Variances Projected Labor Cost Actual Hours hours used Unfavorable M 4 Standard Rate per hour Unfavorable Direct-labor variance < Req 20 Standard Hours Standard Labor Cost hours allowed Unfavorable Direct-labor efficiency variance Ban 20 M Standard Rate per hour