Scribd Logo
Upload

Welcome to Scribd!

  • Acccob3 HW7

    Uploaded by

    neovaldez
    35 views2 pages
    The company prepared 4000 meals and had a standard labor time of 0.25 hours per meal, allowing for 1000 total standard labor hours. At a standard labor cost of $19.75 per hour, the total standard labor cost was $19,750. The actual labor cost incurred was $19,200, resulting in a $550 favorable variance as the company spent less than allowed. However, the $20 actual labor rate paid was higher than the $19.75 standard rate, creating an unfavorable $240 rate variance. Additionally, with 960 actual hours worked compared to the 1000 standard hours allowed, there was a $790 favorable efficiency variance.

    Original Description:

    Original Title

    ACCCOB3_HW7

    Copyright

    © © All Rights Reserved

    Available Formats

    XLSX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    The company prepared 4000 meals and had a standard labor time of 0.25 hours per meal, allowing for 1000 total standard labor hours. At a standard labor cost of $19.75 per hour, the total standard labor cost was $19,750. The actual labor cost incurred was $19,200, resulting in a $550 favorable variance as the company spent less than allowed. However, the $20 actual labor rate paid was higher than the $19.75 standard rate, creating an unfavorable $240 rate variance. Additionally, with 960 actual hours worked compared to the 1000 standard hours allowed, there was a $790 favorable efficiency variance.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    35 views2 pages

    Acccob3 HW7

    Uploaded by

    neovaldez
    The company prepared 4000 meals and had a standard labor time of 0.25 hours per meal, allowing for 1000 total standard labor hours. At a standard labor cost of $19.75 per hour, the total standard labor cost was $19,750. The actual labor cost incurred was $19,200, resulting in a $550 favorable variance as the company spent less than allowed. However, the $20 actual labor rate paid was higher than the $19.75 standard rate, creating an unfavorable $240 rate variance. Additionally, with 960 actual hours worked compared to the 1000 standard hours allowed, there was a $790 favorable efficiency variance.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 2

    1

    Number of Meals Prepared 4000


    Standard Direct Labor Hours Per Meal 0.25
    Total Direct Labor Hours Allowed 1000
    2
    Total Direct Labor Hours Allowed 1000
    Standard Direct Labor Cost Per Hour 19.75
    Total Standared Direct Labor Cost 19750
    3
    Actual Cost Incurred 19200
    Total Standard Direct Labor Cost 19750
    Labor Spending Varience 550 Favorable because the company spent less than the

    4
    Labor Rate Varience Actual Hours(Actual Rate-Standard Rate)
    Actual Hours 960
    Actual Rate 20
    Standard Rate 19.75
    Labor Rate Varience 240 Unfavorable because the rate the company paid is m

    Labor Efficiency Varience Standard Rate(Actual Hours-Standard Hours)


    Actual Rate 19.75
    Actual Hours 960
    Standard hours 1000
    Labor Efficency Varience 790 Favorable because the company used less hours tha
    he company spent less than the standard

    e-Standard Rate)

    e the rate the company paid is more than the standard

    rs-Standard Hours)

    he company used less hours than the standard

    You might also like