50.1K

Verified Solution

Link Copied!

E9-5 (Algo) Calculating Direct Materials and Direct Labor Variances [LO 9-3, 9-4) Suds & Cuts is a local pet grooming shop owned by Collin Bark. Collin has prepared the following standard cost card for each dog bath given Shampoo Water Direct labor Standard Quantity Standard late 1.6 oz. $ 0.60 per oz. 14 gal. $ 0.05 per gal. 1 hr. $10.00 per hr Standard Unit Cost $0.96 0.70 10.00 During the month of July Collin's employees gave 340 baths. The actual results were 720 ounces of shampoo used (cost of $482 40). 6,400 gallons of water used (cost of $448) and labor costs for 280 hours (cost of $3,080) Required: 1. Calculate Suds & Cuts direct materials variances for both shampoo and water for the month of July 2. Calculate Suds & Cuts direct labor variances for the month of July, Complete this question by entering your answers in the tabs below. Required i Required 2 Calculate Suds & Cuts direct materials variances for both shampoo and water for the month of July. (Round your answers to 2 decimal places. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance).) Shampoo Water Direct Material Price Variance Direct Material Quantity Variance E9-5 (Algo) Calculating Direct Materials and Direct Labor Variances (LO 9-3, 9-4) Suds & Cuts is a local pet grooming shop owned by Collin Bark. Collin has prepared the following standard cost card for each dog bath given Standard Standard Quantity Standard Rate Unit Cost Shampoo 1.6 oz. $ 0.60 per oz. $ 0.96 Water 14 gal. $ 0.05 per gal. 0.70 Direct labor 1 hr. 510.00 per he. 10.00 During the month of July Collin's employees gave 340 baths. The actual results were 720 ounces of shampoo used (cost of $482.40). 6,400 gallons of water used (cost of $448) and labor costs for 280 hours (cost of $3,080). Required: 1. Calculate Suds & Cuts direct materials variances for both shampoo and water for the month of July 2. Calculate Suds & Cuts direct labor variances for the month of July, Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate Suds & Cuts direct labor variances for the month of July (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (ke, zero variance). Round your answers to nearest dollar amount.) Direct Labor Rate Variance Direct Labor Efficiency Variance

Answer & Explanation Solved by verified expert

See Answer