Rudd Clothiers is a small company that manufactures tallmen’s suits. The company has used a standard cost accounting system. In May
2017, 10,600 suits were produced. The following standard and actual cost data applied to the month of May when normal capacity
was 17,000 direct labor hours. All materials purchased were used.
Standard (per unit)
6 yards at $5.00 per yard
$312,825 for 64,500 yards ($4.85 per yard)
1.20 hours at $13.00 per hour
$183,870 for 13,620 hours ($13.50 per hour)
1.20 hours at $6.90 per hour (fixed $4.00; variable $2.90)
$49,400 fixed overhead $36,500 variable overhead
Overhead is applied on the basis of direct labor hours. At normal capacity, budgeted fixed overhead costs were $68,000, and budgeted variable
overhead was $49,300.
Compute the total, price, and quantity variances for (1) materials and (2) labor. (Round answers to 0 decimal places, e.g. 125.)
Total materials variance
Total labor variance
Labor price variance
Labor quantity variance
Materials quantity variance
Materials price variance
Compute the total overhead variance.
Total overhead variance
Question Attempts: 0 of 1 used
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