Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from its standard cost system: Inputs (1) Standard Quantity or Hours (2) Standard Price or Rate Standard Cost (1) × (2) Direct materials 2.10 pounds $ 16.60 per pound $ 34.86 Direct labor 1.00 hours $ 15.90 per hour $ 15.90 Variable manufacturing overhead 1.00 hours $ 9.10 per hour $ 9.10 Total standard cost per unit $ 59.86 Total Variances Reported Standard Cost* Price or Rate Quantity or Efficiency Direct materials $ 627,480 $ 11,542 F $ 33,200 U Direct labor $ 286,200 $ 3,800 U $ 15,900 U Variable manufacturing overhead $ 163,800 $ 4,800 F $ ?† U *Applied to Work in Process during the period. The company's manufacturing overhead cost is applied to production on the basis of direct labor-hours. All of the materials purchased during the period were used in production. Work in process inventories are insignificant and can be ignored. 4. How many actual direct labor-hours were worked during the period? 5. What was the actual rate paid per direct labor-hour? (Round your answer to 2 decimal places.)
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from its standard cost system: Inputs (1) Standard Quantity or Hours (2) Standard Price or Rate Standard Cost (1) × (2) Direct materials 2.10 pounds $ 16.60 per pound $ 34.86 Direct labor 1.00 hours $ 15.90 per hour $ 15.90 Variable manufacturing overhead 1.00 hours $ 9.10 per hour $ 9.10 Total standard cost per unit $ 59.86 Total Variances Reported Standard Cost* Price or Rate Quantity or Efficiency Direct materials $ 627,480 $ 11,542 F $ 33,200 U Direct labor $ 286,200 $ 3,800 U $ 15,900 U Variable manufacturing overhead $ 163,800 $ 4,800 F $ ?† U *Applied to Work in Process during the period. The company's manufacturing overhead cost is applied to production on the basis of direct labor-hours. All of the materials purchased during the period were used in production. Work in process inventories are insignificant and can be ignored. 4. How many actual direct labor-hours were worked during the period? 5. What was the actual rate paid per direct labor-hour? (Round your answer to 2 decimal places.)
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter4: Accounting For Factory Overhead
Section: Chapter Questions
Problem 4P: Using the data in P4-2 and Microsoft Excel: 1. Separate the variable and fixed elements. 2....
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Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from its
Inputs | (1) Standard Quantity or Hours | (2) Standard Price or Rate |
Standard Cost (1) × (2) |
||||
Direct materials | 2.10 | pounds | $ | 16.60 | per pound | $ | 34.86 |
Direct labor | 1.00 | hours | $ | 15.90 | per hour | $ | 15.90 |
Variable manufacturing overhead | 1.00 | hours | $ | 9.10 | per hour | $ | 9.10 |
Total standard cost per unit | $ | 59.86 | |||||
Total | Variances Reported | |||||||
Standard Cost* |
Price or Rate |
Quantity or Efficiency |
||||||
Direct materials | $ | 627,480 | $ | 11,542 | F | $ | 33,200 | U |
Direct labor | $ | 286,200 | $ | 3,800 | U | $ | 15,900 | U |
Variable manufacturing overhead | $ | 163,800 | $ | 4,800 | F | $ | ?† | U |
*Applied to Work in Process during the period.
The company's
4. How many actual direct labor-hours were worked during the period?
5. What was the actual rate paid per direct labor-hour? (Round your answer to 2 decimal places.)
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