Determine the actual price paid per pound for materials

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Reference no: EM131969840

Question - Pete's Company produces a single product. The following data apply to the standard cost of materials and labor associated with making the product:

Materials quantity per unit 1 pound

Materials price $ 6.90 per pound

Labor quantity per unit 2 hours

Labor price $ 10.90 per hour

During the year, the company made 2,180 units of product. At the end of the year, the following variances had been calculated.

Materials usage variance $ 1,863 Favorable

Materials price variance $ 191 Unfavorable

Labor usage variance $ 4,251 Unfavorable

Labor price variance $ 3,325 Favorable

Required

1. Determine the actual amount of materials used.

2. Determine the actual price paid per pound for materials. (Round your answer to 2 decimal places.)

3. Determine the actual labor hours used.

4. Determine the actual labor price per hour. (Round your answer to 2 decimal places.)

Reference no: EM131969840

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