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The Koski Company has established standards as followsdirect material.........3pounds @ $4/pound=$12 per unitdirect labor.............2hours @ $8/hour=$16 per unitVariable overhead.....2hours @ $5/hour=$10 per unit
Actual production figures for the past year:units produced...........................500direct material used.....................1,600 poundsdirect material purchased (3,000).....$12,300direct labor cost (950 hours)...........$7,5790variable overhead cost incurred.......$4,655
1. The materials price variance is:
2. The materials quantity variance is:
3. The labor rate variance is:
4. The labor efficiency variance is:
5. The variable overhead rate variance is:
6. The variable overhead efficiency variance is:
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