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aleksklad [387]
3 years ago
6

Direct Labor Variances Glacier Bicycle Company manufactures commuter bicycles from recycled materials. The following data for Oc

tober of the current year are available: Quantity of direct labor used 500 hrs. Actual rate for direct labor $13.10 per hr. Bicycles completed in October 240 bicycles Standard direct labor per bicycle 2 hrs. Standard rate for direct labor $13.40 per hr. a. Determine for October the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Labor Rate Variance $ Direct Labor Time Variance $ Total Direct Labor Cost Variance $ b. How much direct labor should be debited to Work in Process? $
Business
1 answer:
Viktor [21]3 years ago
5 0

Answer:

Labor Efficiency Variance=268 Unfavorable

Labor Rate Variance= $ 150 Favorable

Total Direct Labor Cost Variance= $ 118

Work In Process $ 6432 debit

Explanation:

Glacier Bicycle Company

Quantity of direct labor used 500 hrs.

Actual rate for direct labor $13.10 per hr.

Standard direct labor per bicycle 2 hrs.

Standard rate for direct labor $13.40 per hr

The labor efficiency variance= (Standard Hours allowed  * standard labor Rate )- (  Actual Hours  * standard labor Rate )

Labor Efficiency Variance= (SH* SR)- (AH*SR)

Labor Efficiency Variance= ( 2* 240 *13.4) - (500* 13.4)

Labor Efficiency Variance= ( 480*13.4) - (500* 13.4)

Labor Efficiency Variance= $ 6432- $ 6700= 268 Unfavorable

Labor Rate Variance= (actual hours * actual rate) - (actual hours* standard rate)

Labor Rate Variance= ( 500 *13.1) - (500*13.4)= 6550-6700= $ 150 Favorable

Total Direct Labor Cost Variance=  Labor Efficiency Variance + Labor Rate Variance

Total Direct Labor Cost Variance= 268 Unfavorable +$ 150 Favorable

Total Direct Labor Cost Variance= $ 118

Work In Process $ 6432 debit

Labor Efficiency Variance  268 Unfavorable debit

Labor Rate Variance$ 150 Favorable credit

Accrued Payroll $ 6550 credit

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natta225 [31]

Answer:A. Recycle their old cell phones

Explanation:just took the test on edgeunity

6 0
2 years ago
The management of dominican sugar company is considering whether to process further raw sugar into refined sugar. refined sugar
horsena [70]

We shall Ignore cost of sugar cane at $0.36 per pound, as its going to be incurred for both processes.

Lets find the cash flow from not processing further:

42500 pounds Sugar @ $1.43 per Pound $60,775

Lets find the cash flow from Processing Further:

If 42500 pounds of raw sugar are processed further, we get 34000 pounds of refined sugar(42500/1.25)

34000 pounds of refined [email protected] $2.23 per pound $75280

Additional Processing charges for 42500 [email protected]$0.49 ($20825)

Total Cash Flow $54995

As can be observed, the organisation earns more when they sell raw sugar, Thus sugar should not be processed further.

5 0
3 years ago
A new hospital needs a computer that can support hundreds of users. What classification of computer does the hospital need?
vladimir1956 [14]
The answer to the given question above would be option B. If a <span>ew hospital needs a computer that can support hundreds of users, the classification of computer that the hospital needs is a mainframe computer. The level of reliability of this type of computer is very high because of their storage. Hope this helps.</span>
3 0
3 years ago
9. Current one-year interest rates in Europe is 4 percent, while one-year interest rates in the U.S. is 2 percent. You convert $
Ulleksa [173]

Solution:

Given ,

1 Year interest rates in Europe = 4 %

1 Year interest rates in the U.S. = 2 %

You are translating $200,000 and spending $200,000 in French

Current spot rate of the euro = $1.20

a.   (2%-4%)/(1+4%)=(S - 1.20) / 1.20  

     S= $1.1769 one year Euro rate

b. ( $1 / 1.20 )( 1 + 4% )* 1.12 = $.9707 return of -2.93% (loss)

c. ( $1 / 1.20) ( 1 + 4%)* 1.31 = $1.1353 return of 13.53% (gain)

d . ($1 / 1.20) ( 1 + 4%) *S = $1 (1+2%) ;

        S=$1.1769          

A spot rate of over $1.17697 (this is the same in part A) would be effective.

7 0
2 years ago
For each of the following items, identify whether they would most likely be reported in the balance sheet (B) or income statemen
blagie [28]

Answer:

Explanation:

The statement of income records all sales revenues general and expenditure incurred during a particular period.

The balance sheet reports the assets and the liabilities of the company

So, the classification is as follows

a. Net income  = income statement (I)

b. Retained earnings  = balance sheet (B)

c. Depreciation expense  = income statement (I)

d. Accumulated depreciation  = balance sheet (B). It is deducted from the value of the respective fixed assets

e. Wages expense  = income statement (I). It is shown on the debit side of the income statement

f. Wages payable   = balance sheet (B). It is a current liabilities

g. Interest expense  = income statement (I) It is shown on the debit side of the income statement

h. Interest payable   = balance sheet (B). It is a current liabilities

i. Sales = income statement (I)

8 0
3 years ago
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