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Check my work Saskatewan Can Company manufactures recyclable soft-drink cans. A

ID: 2554185 • Letter: C

Question

Check my work Saskatewan Can Company manufactures recyclable soft-drink cans. A unit of production is a case of 12 dozen cans. The following standards have been set by the production-engineering staff and the controller t Labor Direct Material: Quantity, 0.10 hour Rate, $5.00 per hour Quantity, 3 kilograms Price, $0.30 per kilogram Actual material purchases amounted to 34,000 kilograms at $0.325 per kilogram. Actual costs incurred in the production of 10,000 units were as follows: Direct labor: Direct material: $6,120 for 1,200 hours $10,075 for 31,000 kilograms Required the direct-material price and quantity variances, the direct-material purchase price variance, and the direct-labor rate and efficiency variances. Indicate whether each variance is favorable or unfavorable. each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "O" for no effect 1. Use the variance formulas to compute e., zero variancel) Prev 1 of 5 Next> Aa 2

Explanation / Answer

As per policy, only one question is allowed to answer at a time, so answering 1:

Q1)

1.

1.DMPV (actual price - std. price)actual usage (0.325-0.30)31000 775 U 2. DMQV (std usage of actual units - actual usage)std price (3*10000 - 31000)0.30 300 U 3. DMPPV (actual purchase price - std price)purchased quantity (0.325-0.3)34000 850 U 4.DLRV (actual rate - std rate)actual hours (5.1 - 5)1200 120 U 5. DLEV (std hours of actual units - actual hours)std. rate (0.10*10000 - 1200)*5 1000 U
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