Reference no: EM132631986
Question 1: What is the budgeted cost and actual cost, respectively, of producing one tire is (to the nearest $)
Question 2: What is the direct labor efficiency variance is:
Question 3: What is the direct materials quantity variance is:
Question 4: What is the direct materials price variance is:
The budgeted and actual costs at Goodyear Company is as follows:
Budgeted costs Actual costs
Materials (per tire): 12 lbs @ $1.80/lb Total materials purchased: 840,000lbs
Labor (per tire): 4 hrs. @ $14/hr Total cost of purchase: $1,554,000
Factory O/H (per tire): 3 hrs. @ $8/hr Total material used: 849,600 lbs
Labor (per tire): 4.1 hrs @ $13/hr
Factory O/H (per tire): 2.8 hrs @ $8.50/hr
During October, Goodyear produced 72,000 tires.