Radtke Company has provided the following information for the month of November:
$\begin{array}{ll}
\underline{\text { Actual }} &\underline{\text { standards }} \
\text {800 units produced} & 2 \mathrm{DLH} \text { per unit } @ \$ 5.00\\
\text { Actual DL cost $ \$ 6.750 $ } &\$ 1 \text { fixed overhead per DLH}\
\end{array}$
Assume that Radtke Company hires full-time employees who are paid a total of $6,500 per month.
Compute the spending and volume variances.

Question

Radtke Company has provided the following information for the month of November:
 $\begin{array}{ll}
\underline{\text { Actual  }} &\underline{\text { standards }} \
\text {800 units produced} &  2 \mathrm{DLH} \text { per unit } @ \$ 5.00\\
\text { Actual DL cost $ \$ 6.750 $ } &\$ 1 \text { fixed overhead per DLH}\
\end{array}$
Assume that Radtke Company hires full-time employees who are paid a total of $6,500 per month.
Compute the spending and volume variances.

Quizplus · Accepted Answer

The Answer of Radtke Company has provided the following information for the month of November:
 $\begin{array}{ll}
\underline{\text { Actual  }} &\underline{\text { standards }} \
\text {800 units produced} &  2 \mathrm{DLH} \text { per unit } @ \$ 5.00\\
\text { Actual DL cost $ \$ 6.750 $ } &\$ 1 \text { fixed overhead per DLH}\
\end{array}$
Assume that Radtke Company hires full-time employees who are paid a total of $6,500 per month.
Compute the spending and volume variances.

Radtke Company Has Provided the Following Information for the Month