60.1K

Verified Solution

Link Copied!

need asap

retailers. One of the products is the Giant Wonka Bar, a 12 inch milk chocolate bar, sold only as a single bar. Wonka company uses a traditional standard costing system to control costs and has established the following materials and labor standards to produce one Glant Wonka Bar: - Direct materials; 1.5 pounds @ \$12 per pound - Direct labor; 0.6 hours $24 per hour - Variable manufacturing overhead; 0.6 hours @ \$5.00 During 2025, Wonka company produced and sold 3,000 Giant Wonka Bars. 6,000 pounds of direct materials were used @ $11.50 per pound. 1600 direct labor hours were recorded during the month at a cost of $40,000. Requirements: 1. Calculate the Direct Materials Cost and Efficiency Variances and note if the variances are unfavorable (U) or favorable (F) 2. Calculate the Total Direct Materials Variance 0 U/F 3. Calculate the Direct Labor Cost and Efficiency Variances and note if the variances are unfavorable (U) or favorable (F) -DLCV:$-DLEV:$U/FU/F 1. Calculate the Direct Materials Cost and Efficiency Variances and note if the variances are unfavorable (U) or favorable (F) - DMCV: $ U/F - DMEV: $ U/F 2. Calculate the Total Direct Materials Variance - $/F 3. Calculate the Direct Labor Cost and Efficiency Variances and note if the variances are unfavorable (U) or favorable (F) -DLCV:$-DLEV:$U/FU/F 4. Calculate the Total Direct Labor Variance U/F

Answer & Explanation Solved by verified expert

See Answer