Reference no: EM133166114

Question - Easyflow Co. Inc. manufactures faucets in a small manufacturing facility. The faucets are from zinc. Manufacturing has 60 employees. Each employee presently provides 36 hours of labour per week. Information about a production week is as follows:

Standard wage per hour $18

Standard labour times per faucet 12 minutes

Standard number of lb. of zinc 0.80 lbs

Standard price per lb. of zinc $1.25

Actual Price per lb. of zinc $1.40

Actual lbs. of zinc used during the week 10,200 lbs

Number of faucets produced during the week 12,000 lbs

Actual wage per hr. $18.75

Actual hrs. per week 2,160 hrs.

Required -

a. Determine the standard cost per unit of direct materials and direct labour.

b. Determine the price variance, quantity variance, and total direct materials cost variance.

c. Determine the price variance, quantity variance, and total direct materials cost variance.