Course Solutions Uncategorized (Answered) : 1 Materials price variance $2125 Unfavorable (AQ x AP) – (AQ x SP) = (8500 x $6.25) – (8500 x $6.00) = $2125 2 Materials effic

(Answered) : 1 Materials price variance $2125 Unfavorable (AQ x AP) – (AQ x SP) = (8500 x $6.25) – (8500 x $6.00) = $2125 2 Materials effic

June 27, 2024June 27, 2024| adminadmin| 0 Comment| 7:33 pm
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1 Materials price variance $2125 Unfavorable
(AQ x AP) – (AQ x SP) = (8500 x $6.25) – (8500 x $6.00) = $2125
2 Materials efficiency variance $6600 Favorable
(AQ x SP) – (SQ x SP) = (8500 x $6.00) – (9600 x $6.00) = $-6600
SQ = 12000 units x 0.8 lb. = 9600 lb.
3 Labor rate variance $5080 Favorable
(AH x AR) – (AH x SR) = (12700 x $15.60) – (12700 x $16.00) = $-5080
4 Labor efficiency variance $11200 Unfavorable
(AH x SR) – (SH x SR) = (12700 x $16.00) – (12000 x $16.00) = $11200
SH = 12000 units x 1 hour = 12000 hours
5 Variable overhead spending variance $6000 Favorable
(AH x AR) – (AH x SR)

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