71.The standard costs and actual costs for direct materials for the manufacture of 2,500 actual units of product are
Standard Costs
|
Direct materials
|
2,500 kilograms @ $8.50
|
|
Actual Costs
|
Direct materials
|
2,600 kilograms @ $8.75
|
|
|
The amount of the direct materials quantity variance is
a.$875 favorable variance
b.$850 unfavorable variance
c.$850 favorable variance
d.$875 unfavorable variance
72.If the actual quantity of direct materials used in producing a commodity differs from the standard quantity, thevariance is a
a.controllable variance
b.price variance
c.quantity variance
d.rate variance
73.If the price paid per unit differs from the standard price per unit for direct materials, the variance is a
a.variable variance
b.controllable variance
c.price variance
d.volume variance
The following data is given for the Stringer Company:
Budgeted production
|
26,000 units
|
Actual production
|
27,500 units
|
Materials:
|
|
Standard price per ounce
|
$6.50
|
Standard ounces per completed unit
|
8
|
Actual ounces purchased and used in production
|
228,000
|
Actual price paid for materials
|
$1,504,800
|
Labor:
|
|
Standard hourly labor rate
|
$22 per hour
|
Standard hours allowed per completed unit
|
6.6
|
Actual labor hours worked
|
183,000
|
Actual total labor costs
|
$4,020,000
|
Overhead:
|
|
Actual and budgeted fixed overhead
|
$1,029,600
|
Standard variable overhead rate
|
$24.50 per standard labor hour
|
Actual variable overhead costs
|
$4,520,000
|
Overhead is applied on standard labor hours.
|
74.The direct materials price variance is
a.$22,800 unfavorable
b.$22,800 favorable
c.$52,000 unfavorable
d.$52,000 favorable
75.The direct materials quantity variance is
a.22,800 favorable
b.22,800 unfavorable
c.52,000 favorable
d.52,000 unfavorable
The Lucy Corporation purchased and used 129,000 board feet of lumber in production, at a total cost of $1,548,000.Original production had been budgeted for 22,000 units with a standard material quantity of 5.7 board feet per unitand a standard price of $12 per board foot. Actual production was 23,500 units.
76.The materials price variance is
a.$0
b.$59,400 unfavorable
c.$59,400 favorable
d.$6,000 unfavorable
77.The materials quantity variance is
a.63,000 favorable
b.63,000 unfavorable
c.59,400 favorable
d.59,400 unfavorable
78.If the wage rate paid per hour differs from the standard wage rate per hour for direct labor, the variance is a
a.variable variance
b.rate variance
c.quantity variance
d.volume variance
79.If the actual direct labor hours spent producing a commodity differs from the standard hours, the variance is a
a.time variance
b.price variance
c.quantity variance
d.rate variance
80.The following data relate to direct labor costs for the current period:
Standard costs7,500 hours at $11.70
Actual costs6,000 hours at $12.00
What is the direct labor time variance?
a.$18,000 favorable
b.$18,000 unfavorable
c.$17,550 unfavorable
d.$17,550 favorable