Reference no: EM132510808

Question - Pato Company produces leather sandals. The company employs a standard costing system and has the following standards in order to produce one pair of sandals:

	standard quantity	standard price
direct materials	2 leather strips	?? per strip
direct labor	2.5 hours	$10 per hour
variable overhead	2.5 hours	?? per hour

During May, Pato purchased leather strips at a total cost of $124,520 and had direct labor totaling $117,100. During May, Pato used 18,790 leather strips in the production of sandals. Pato had no beginning inventories of any type for May. At May 31, Pato had 780 leather strips remaining in its direct materials inventory.

Pato Company reported the following variances for May:

Direct material price variance $7,100 unfavorable

Direct labor rate variance $29,500 favorable

Total direct labor variance $8,900 unfavorable

Variable overhead spending variance $2,440 favorable

Variable overhead efficiency variance $34,560 unfavorable

Required - Calculate the number of pairs of sandals produced by Pato Company in May.