Question

The following data are given for Harry Company: Budgeted production 1,054 units Actual production   937 units...

The following data are given for Harry Company:

Budgeted production 1,054 units
Actual production   937 units
Materials:
    Standard price per ounce $1.919
    Standard ounces per completed unit 11
    Actual ounces purchased and used in production 10,616
    Actual price paid for materials $21,763
Labor:
    Standard hourly labor rate $14.76 per hour
    Standard hours allowed per completed unit 4.3
    Actual labor hours worked 4,826
    Actual total labor costs $78,423
Overhead:
    Actual and budgeted fixed overhead $1,025,000
    Standard variable overhead rate $24.00 per standard labor hour
    Actual variable overhead costs $135,128
Overhead is applied on standard labor hours. (Round interim calculations to the nearest cent.)

The direct labor rate variance is

a.$18,953.48 unfavorable

b.$7,190.74 unfavorable

c.$18,953.48 favorable

d.$7,190.74 favorable

0 0
Add a comment Improve this question Transcribed image text
Answer #1
Answer
Option B: $7,190.74 Unfavourable
Explanation
Direct labor rate variance = actual hours x (standard rate - actual rate)
4826 x ($14.76 - $16.25)
$7,190.74 Unfavourable
Working Note
Actual rate = actual labor cost/actual hours
78423 / 4826
$16.25 per hour
Add a comment
Know the answer?
Add Answer to:
The following data are given for Harry Company: Budgeted production 1,054 units Actual production   937 units...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • The following data are given for Stringer Company: Budgeted production 909 units Actual production   1,036 units...

    The following data are given for Stringer Company: Budgeted production 909 units Actual production   1,036 units Materials:     Standard price per ounce $1.82     Standard ounces per completed unit 12     Actual ounces purchased and used in production 12,805     Actual price paid for materials $26,250 Labor:     Standard hourly labor rate $14.95 per hour     Standard hours allowed per completed unit 4.4     Actual labor hours worked 5,335.4     Actual total labor costs $81,365 Overhead:     Actual and budgeted fixed overhead $1,110,000     Standard variable overhead rate $28.00 per...

  • The following data is given for the Bahia Company: Budgeted production 1,040 units Actual production   906...

    The following data is given for the Bahia Company: Budgeted production 1,040 units Actual production   906 units Materials:     Standard price per pound $1.866     Standard pounds per completed unit 11      Actual pounds purchased and used in production 9,667     Actual price paid for materials $19,817 Labor:     Standard hourly labor rate $14.62 per hour     Standard hours allowed per completed unit 4.0      Actual labor hours worked 4,665.9     Actual total labor costs $71,155 Overhead:     Actual and budgeted fixed overhead $1,181,000     Standard variable overhead rate $26.00...

  • 22. The following data is given for the Stringer Company: Budgeted production 917 units Actual production...

    22. The following data is given for the Stringer Company: Budgeted production 917 units Actual production   1,002 units Materials:     Standard price per ounce $1.75     Standard ounces per completed unit 11     Actual ounces purchased and used in production 11,353     Actual price paid for materials $23,274 Labor:     Standard hourly labor rate $14.38 per hour     Standard hours allowed per completed unit 5.0     Actual labor hours worked 5,160.3     Actual total labor costs $78,695 Overhead:     Actual and budgeted fixed overhead $1,124,000     Standard variable overhead rate...

  • The following data is given for the Bahia Company: Budgeted production (at 100% of normal capacity)...

    The following data is given for the Bahia Company: Budgeted production (at 100% of normal capacity) 1,077 units Actual production   917 units Materials:     Standard price per pound $1.76     Standard pounds per completed unit 12     Actual pounds purchased and used in production 10,674     Actual price paid for materials $21,882 Labor:     Standard hourly labor rate $14.01 per hour     Standard hours allowed per completed unit 4.3     Actual labor hours worked 4,722.55     Actual total labor costs $72,019 Overhead:     Actual and budgeted fixed overhead $1,035,000...

  • 1,005 units 956 units $1.90 11 10,201 $20,912 The following data are given for Bahia Company:...

    1,005 units 956 units $1.90 11 10,201 $20,912 The following data are given for Bahia Company: Budgeted production (at 100% of normal capacity) Actual production Materials: Standard price per pound Standard pounds per completed unit Actual pounds purchased and used in production Actual price paid for materials Labor: Standard hourly labor rate Standard hours allowed per completed unit Actual labor hours worked Actual total labor costs Overhead: Actual and budgeted fixed overhead Standard variable overhead rate Actual variable overhead costs...

  • Use this information for Stringer Company to answer the question that follow. The following data are...

    Use this information for Stringer Company to answer the question that follow. The following data are given for Stringer Company: Budgeted production 920 units Actual production   1,021 units Materials:     Standard price per ounce $1.81     Standard ounces per completed unit 11     Actual ounces purchased and used in production 11,568     Actual price paid for materials $23,714 Labor:     Standard hourly labor rate $14.51 per hour     Standard hours allowed per completed unit 4.4     Actual labor hours worked 5,258.15     Actual total labor costs $80,187 Overhead:...

  • Use this information for Stringer Company to answer the question that follow. The following data are...

    Use this information for Stringer Company to answer the question that follow. The following data are given for Stringer Company: 941 units Budgeted production 1,061 units Actual production Materials: $1.77 Standard price per ounce 10 Standard ounces per completed unit 10,928 Actual ounces purchased and used in production $22,402 Actual price paid for materials Labor: $14.86 per hour Standard hourly labor rate Standard hours allowed per completed unit 4.1 Actual labor hours worked 5,464.15 Actual total labor costs $83,328 Overhead:...

  • 2. The following data have been provided by Lopus Corporation: Budgeted production Standard machine-hours per unit Sta...

    2. The following data have been provided by Lopus Corporation: Budgeted production Standard machine-hours per unit Standard lubricants Standard supplies 4,000 units 4.1 machine-hours 5.60 per machine-hour 4.30 per machine-hour $ $ Actual production Actual machine-hours Actual lubricants (total) Actual supplies (total) 4,300 units 9,480 machine-hours $ 54,833 $40,239 Required: Compute the variable overhead rate variances for lubricants and for supplies. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect...

  • 1) 2) 3) 4) 5) A favorable cost variance occurs when Oa. actual costs are the...

    1) 2) 3) 4) 5) A favorable cost variance occurs when Oa. actual costs are the same as standard costs Ob. actual costs are more than standard costs Oc. standard costs are more than actual costs Od. standard costs are less than actual costs The Flapjack Corporation had 8,042 actual direct labor hours at an actual rate of $12.00 per hour. Original production had been budgeted for 1,100 units, but only 999 units were actually produced. Labor standards were 7.9...

  • Performance Report Based on Budgeted and Actual Levels of Production Bowling Company budgeted the following amounts:...

    Performance Report Based on Budgeted and Actual Levels of Production Bowling Company budgeted the following amounts: Variable costs of production:      Direct materials 3 pounds @ $0.60 per pound      Direct labor 0.5 hr. @ $16.00 per hour      VOH 0.5 hr. @ $2.20 FOH:      Materials handling $6,200      Depreciation $2,600 At the end of the year, Bowling had the following actual costs for production of 3,800 units: Direct materials $6,800 Direct labor 30,500 VOH 4,200 FOH:      Materials handling 6,300      Depreciation $2,600 Required: 1....

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT