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Reenu Company manufactures wigs out of used dental...

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Reenu Company manufactures wigs out of used dental floss. The variable cost standards for wig production developed by Reenu are as follows: standard standard cost standard cost quantity per wig per pound hour per wig direct materials 300pounds $3.80 $ 11.40 dierect labor 0.75hours $12.00 $9.00 variable overhead 0.75hours $10.00 $7.50 Variable overhead at Reenu is based on direct labor-hours. The actual results for the month of October were as follows number of wigs produced 12,500 direct labor-hours incurred 10.200 pounds of direct materials purchased 42,000 pounds of direct materials used in production 38,200 cost of direct materials pruchaesd $157,920 direct labor cost $119,700 variable overhead cost $98,600 What is Reenu's materials quantity variance for October? Answer $2,660 unfavorable $14,440 unfavorable $17,100 unfavorable $51,300 unfavorable

 

Paper#11139 | Written in 18-Jul-2015

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