The accountant of JYD Corporation prepared the following cost analysis report on direct labor costs for the
Question:
The accountant of JYD Corporation prepared the following cost analysis report on direct labor costs for the jobs completed during the previous months:
JobActual Hrs. at Actual RatesActual Hrs. at Standard RatesStandard Hrs. at Standard Rates
105 P2,270P2,590P2,170
110 10,74010,97010,500
117 4,7304,9004,620
120 13,85013,60013,480
Total P31,590P32,060P30,770
1.What is the total direct labor variance for the jobs completed?
2.What is the labor rate variance?
3.What is the labor efficiency variance?
PROBLEM 2
The following information pertains to Peter Senen Company's production on a one unit of Product A:
QuantityPriceCost per Unit
Materials-standard 7.5 kgsP0.30/kg P2.25/unit
Labor -standard .6 hr. 10.00/hr. 6.00/unit
During the period, the company produced 15,000 units of Product A. It purchased 140,000 kgs. of materials at P0.25 per kilo. It incurred direct labor cost of P90,780 at P10.20 per labor hour used. At the end of the period, the company's inventory of materials increased by 25,000 kgs. The company recognizes the material price variance when materials are purchased.
1.How much was the company's material price variance?
2.What was the company's materials quantity variance?
Expert Answer:
PROBLEM 1 1 Total direct labor variance Actual hrs at actual rates Actual hrs at standard rates S... View the full answer
