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Author Question: Heavy Products, Inc. developed standard costs for direct material and direct labor. In 2017, AII ... (Read 68 times)

Marty

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Heavy Products, Inc. developed standard costs for direct material and direct labor. In 2017, AII estimated the following standard costs for one of their major products, the 10-gallon plastic container.

Budgeted quantityBudgeted price
Direct materials0.30 pounds$90 per pound
Direct labor0.25 hours$30 per hour

During June, Heavy Products produced and sold 15,000 containers using 2,400 pounds of direct materials at an average cost per pound of $92 and 3,750 direct manufacturing labor-hours at an average wage of $91.25 per hour.

The direct manufacturing labor efficiency variance during June is ________.
◦ $85,547 unfavorable
◦ $229,687.5 favorable
◦ $918,750 unfavorable
◦ $0


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Marked as best answer by Marty on Mar 6, 2021

sierramartinez

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Marty

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Reply 2 on: Mar 6, 2021
Gracias!


skipfourms123

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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