Exercise 109

1
Exercise 10-9

• Direct Materials Price Variance (Actual
  Quantity Purchased) x
• (Act. Price Stand. Price)
• (70,000 diodes) x ( .28 .30)
• 1,400 F

2
Exercise 10-9

• Direct Materials Quant. Variance
• (Standard Price) x
• (Actual Quant. Used Standard Quant)
• (.30) x ( 50,000 40,000)
• 3,000 U
• Standard Quant 8 diodes x 5,000 40,000

3
Exercise 10-9

• Direct Labor Rate Variance
• (Actual Hours) x
• (Actual Rate Standard Rate)
• (6,400) x ( 7.50 7.00) 3,200 U
• Actual Rate 48,000 / 6,400 7.50

4
Exercise 10-9

• Direct Labor Efficiency Variance
• (Standard Rate) x
• (Actual Hours Standard Hours)
• (7.00) x (6,400 6,000) 2,800 U
• Standard Hours 1.2 hrs x 5,000 6,000

5
Exercise 10-10

• Direct Materials Price Variance (Actual
  Quantity Purchased) x
• (Act. Price Stand. Price)
• (20,000 oz) x ( 2.40 2.50)
• 2,000 F

6
Exercise 10-10

• Direct Materials Quant. Variance
• (Standard Price) x
• (Actual Quant. Used Standard Quant)
• (2.50) x ( 20,000 18,000)
• 5,000 U
• Standard Quant 7.2 x 2,500 18,000

7
Exercise 10-10

• Direct Labor Rate Variance
• (Actual Hours) x
• (Actual Rate Standard Rate)
• (900) x ( 12.00 10.00) 1,800 U
• Actual Rate 10,800 / 900 12.00

8
Exercise 10-10

• Direct Labor Efficiency Variance
• (Standard Rate) x
• (Actual Hours Standard Hours)
• (10.00) x ( 900 1,000) 1,000 F
• Standard Hours .4 hrs x 2,500 1,000