Question 23

23) A partial standard cost card for the single product produced by Mercer Company is given below Direct materials: 3 pounds @ $8 per pound Direct labor: ? hours@ ? per hour Last period the company produced 4,000 units of product. Cost and other data associated with this production are given below Direct materials purchased and used, at cost Direct labor cost incurred (10,400 hours) Materials price variance Labor efficiency variance Total labor variance $103,320 $120,640 $2,520 Unfavorable $4,800 Unfavorable $640 Unfavorable Determine the number of pounds of direct materials purchased and used during the period