Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below:
Standard Quantity or Hours Standard Price or Rate Standard Cost
Direct materials 6 pounds $2.30 per pound $13.80
Direct labor 0.50 hours $10 per hour $5
During the most recent month, the following activity was recorded:
1. 11,000 pounds of material were purchased at a cost of $2.10 per pound.
2. All of the material purchased was used to produce 1,500 units of Zoom.
3. 500 hours of direct labor time were recorded at a total labor cost of $6,500.
Required:
1. Compute the materials price and quantity variances for the month.
2. Compute the labor rate and efficiency variances for the month.

Respuesta :

The direct materials and direct labor standards for a zoom unit are listed below standard quantity or hours standard rate or price direct cost.

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