6.The following standards for variable manufacturing overhead have been established for a company that makes...
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6.The following standards for variable manufacturing overhead have been established for a company that makes only one product:
Standard hours per unit of output
5.10
hours
Standard variable overhead rate
$11.20
per hour
The following data pertain to operations for the last month:
Actual hours
8,600
hours
Actual total labor cost
$95,980
Actual output
1,600
units
What is the variable overhead efficiency variance for the month? (Do not round intermediate calculations.)
$7,093 U
$2,532 U
$4,928 U
$7,093 F
7.The following standards for variable manufacturing overhead have been established for a company that makes only one product:
Standard hours per unit of output
3.30
hours
Standard variable overhead rate
$10.65
per hour
The following data pertain to operations for the last month:
Actual hours
9,300
hours
Actual total labor cost
$95,790
Actual output
2,600
units
What is the variable overhead rate variance for the month? (Do not round intermediate calculations.)
$3,255 F
$3,536 U
$3,255 U
$3,536 F
8.The auto repair shop of Empire Motor Sales uses standards to control labor time and labor cost in the shop. The standard time for a motor tune-up is 3.7 hours. The record showing time spent in the shop last week on tune-ups has been misplaced; however, the shop supervisor recalls that 70 tune-ups were completed during the week and the controller recalls that the labor rate variance on tune-ups was $87, favorable. The shop has a set standard labor rate of $9 per hour for tune-up work. The total labor variance for the week on tune-up work was $93, unfavorable.
The actual hourly rate of pay for tune-up work last week was:
$8.70 per hour
$9.00 per hour
$9.30 per hour
cannot be computed with the given information
9.The Geurtz Company uses standard costing. The company makes and sells a single product called a Roff. The following data are for the month of August:
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