here is what my classmate got for q 2 through 5 i need to comment on his post. is there anything wrong or is there anything i can add?
) Direct material quantity variance - (19,000 x 1.35) =25,650 - (20,000 x 1.35) = 27,000 = 1.35 x 1,000 =1,350. The variance is favorable since the company used less than the standard quantity allowed.
3) (36,000 x 1.38 = 49,680) - (36,000 x 1.35 = 48,600) = 36,000 x (1.38 - 1.35) = 1,080. The quantity purchase variance is unfavorable since the company used $1,080 to purchase the material.
4) (4,200 x 9.15 = 38,430) - (4,200 x 9 = 37,800) = 4,200 x .15 = 630. The variance for direct labor is unfavorable since the company paid $630 more than the standard.
5) (4,200 x 9 = 37,800) - (4,000 x 9 = 36,000) = 9 x 200 = 1,800. The direct labor efficiency variance is unfavorable since the company used an extra 200 hours of labor for its 1,000 units.
is there anything wrong or is there anything i can add?
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Sep 21, 2019EXPERT
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