EStatic Calculating Unknown Values for Direct Materials, Direct Labgr Variances LO
Ironwood Company manufactures castiron barbeque cookware. During a recent windstorm, it lost some of its cost accounting records. Ironwood has managed to reconstruct portions of its standard cost system database but is still missing a few pieces of information.
Required:
Use the information in the table to determine the unknown amounts. You may assume that Ironwood does not keep any raw materials on hand.
Note: Indicate the effect of each variance by selecting F for favorable, U for unfavorable, and "None" for no effect ie zero variance
tableDirect Materials,Direct LaborStandard amount per pan produced,pound,,hour,Standard price,$per pound,$per hourActual amount used per pan produced,pound,hour,,Actual price,per pound,$per hour,Actual number of pans produced and sold,pans,,pans,Direct materials price variance,,,,,,Direct materials quantity variance,,,,,,Direct materials spending variance,,,,,,Direct labor rate variance,,,,,,Direct labor efficiency variance,,,,,,Direct labor spending variance,,,,,,
