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barberry inc_Standard costing_Variance analysis




Question;barberry inc manufacture a product call fruta this companyuse a standard cost system and has establish the data base for one unt of fruta/direct material=1.5 pound-standard price of rate=6.00 per pound -standard cost=9.00/direct labor=0.6 hrs/standard price rate=12.00 per hr standard cost=7.20/variable overhead=0.6hr standard price of rate=2.50hr standard cost=1.50/during june this company record activity relate to production of fruta/1.this company produce 3000 unit during june/a total of 8000 pound of material were purchase at a cost of 46k/there were no beginning inventory of material how ever at the end of month 2000 pound of material remain in ending inventory/the company have 10 staff to work on the production of fruta.during june they work a vegrafe of 160hrs at a rate of 12.50hr/variable overhead is assign to fruta on the basis of direct labor hr?variable overhead cost during junne total 3,600.question- this company management is anxious to determine the efficiency of fruta production activities/I need to prepare direct material. compute the price and quantity variance/the material were purchase from a new supplier who wants to enter into a long term purchase contract.would u recommend that the company sign the contract and why need to explain./question for labor staff in the productin of fruta/compute the rate and efficiency variance/in the past 10 staff include4- senior workers and-6 assitants would u recommend that the new staff be mix and explain./compute the variable overhead and efficiency variances what relations can u see between this efficiency and the labor efficiency varience/can u assit me


Paper#37298 | Written in 18-Jul-2015

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