Paw-Paw Products Paw-Paw Products produces and sells flannel covered dogbeds. In the current year, Paw-Paw had expected to sell 8,000 beds but actually produced and sold 8,500 beds. The following information is available regarding the standard cost to produce a single dogbed:
In the current year, 44,000 yards of material were purchased and used at a cost of $1.60 per yard and 365,500 direct labor minutes were incurred at a cost of $.23 per minute.
Refer to the Paw-Paw Products information above. The company's direct labor efficiency variance for the current year is:
A) $ 5,100 U.
B) $ 9,100 U.
C) $ 5,865 F.
D) $20,065 F.

Question

Paw-Paw Products Paw-Paw Products produces and sells flannel covered dogbeds. In the current year, Paw-Paw had expected to sell 8,000 beds but actually produced and sold 8,500 beds. The following information is available regarding the standard cost to produce a single dogbed:
 In the current year, 44,000 yards of material were purchased and used at a cost of $1.60 per yard and 365,500 direct labor minutes were incurred at a cost of $.23 per minute.
Refer to the Paw-Paw Products information above. The company's direct labor efficiency variance for the current year is:
A) $ 5,100 U. 
B) $ 9,100 U. 
C) $ 5,865 F. 
D) $20,065 F.

Quizplus · Accepted Answer

The Answer of Paw-Paw Products Paw-Paw Products produces and sells flannel covered dogbeds. In the current year, Paw-Paw had expected to sell 8,000 beds but actually produced and sold 8,500 beds. The following information is available regarding the standard cost to produce a single dogbed:
 In the current year, 44,000 yards of material were purchased and used at a cost of $1.60 per yard and 365,500 direct labor minutes were incurred at a cost of $.23 per minute.
Refer to the Paw-Paw Products information above. The company's direct labor efficiency variance for the current year is:
A) $ 5,100 U. 
B) $ 9,100 U. 
C) $ 5,865 F. 
D) $20,065 F.

Paw-Paw Products Paw-Paw Products Produces and Sells Flannel Covered Dogbeds