Q1) | Direct Labor Price Variance = Actual Hours Worked * ( Standard RAte - Actual RAte) | |||||||||
$3150 (U) = 6300 Hours * ($9 - Actual Rate) | ||||||||||
-3150 =56700 -6300* Actual Rate | ||||||||||
Actual Rate = $9.5 Per hour | ||||||||||
Therefore option "c" is correct. | ||||||||||
Q2) | Actual DM Cost Per Unit = $96000/24000 | |||||||||
=$4 per kg | ||||||||||
Direct Material Price Variance = Actual Kg * (Std Rate - Actual Rate) | ||||||||||
3600(U) = 24000 * (std rate -4) | ||||||||||
-3600 = 24000 std rate -96000 | ||||||||||
Standard Rate = $3.85 | ||||||||||
Therefore option "b" is correct. | ||||||||||
Q3) | Standard DM cost per unit | |||||||||
Per unit | ||||||||||
Tomatoes | $ 2.25 | |||||||||
(150000Kg/40000 units *0.6 per kg) | ||||||||||
Olive oil | $ 0.02 | |||||||||
(400 litres/40000*$2 per liters) | ||||||||||
Others | $ 0.60 | |||||||||
Total | $ 2.87 | |||||||||
Therefore option "a" is correct. | ||||||||||
Q4) | Standard Cost | |||||||||
Eggs | 0.3 | |||||||||
(2*0.15) | ||||||||||
Slice | 0.23 | |||||||||
(1*0.23) | ||||||||||
Direct Labor Cost | 1.5 | |||||||||
(0.15*10) | ||||||||||
Factory Overhead | 0.15 | |||||||||
Total | 2.18 | |||||||||
Therefore option "d" is correct. | ||||||||||
5) | correct optio = b | |||||||||
Circle the correct answer (2 points each) 11/21/2019 Name: 1. The standard number of hours that...
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