
Heavy Products, Inc. developed standard costs for direct material and direct labor. In 2017, AII estimated the following standard costs for one of their major products, the 10-gallon plastic container.
During June, Heavy Products produced and sold 19,000 containers using 1,200 pounds of direct materials at an average cost per pound of $63 and 17,100 direct manufacturing labor-hours at an average wage of $31.25 per hour.
The direct manufacturing labor price variance during June is ________.
A) $21,375 unfavorable
B) $21,375 favorable
C) $3,600 unfavorable
D) $950,400 unfavorable
Correct Answer:
Verified
Q79: The actual information pertains to the third
Q80: The actual information pertains to the third
Q81: A favorable price variance for direct manufacturing
Q82: A standard price is the minimum price
Q83: A standard is attainable through efficient operations
Q85: Standard labor rate is $7.50 per hour.
Q86: A favorable efficiency variance for direct materials
Q87: Heavy Products, Inc. developed standard costs for
Q88: An unfavorable efficiency variance for direct manufacturing
Q89: Genent Industries, Inc. (GII), developed standard costs
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