etermining Unit Costs, Variance Analysis, and Interpretation Happy Dog Company, a manufacturer of dog food,...
80.2K
Verified Solution
Link Copied!
Question
Accounting
etermining Unit Costs, Variance Analysis, and Interpretation Happy Dog Company, a manufacturer of dog food, produces its product in 1,000-bag batches. The standard cost of each batch consists of 8,000 pounds of direct materials at $0.60 per pound, 48 direct labor hours at $13.25 per hour, and variable overhead cost (based on machine hours) at the rate of $15 per hour with 16 machine hours per batch. The following variable costs were incurred for the last 1,000-bag batch produced: Direct materials . . . . . . . . . . . . . . . . 8,300 pounds costing $4,731 were purchased and used Direct labor. . . . . . . . . . . . . . . . . . . . 45 hours costing $675 Variable overhead. . . . . . . . . . . . . . . $338 Machine hours used. . . . . . . . . . . . . 18 hours Required
b. For the last 1,000-bag batch, determine the standard cost variances for direct materials, direct labor, and variable overhead.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
