Question

Shampoo Water Direct Ratel WASCO $0.20 per 02 OH39 $0.04 pergal. During the month of July Collin's employees gave 310 baths. The actual results were 705 ounces of shampoo used (cost of $232.65) 6.100 gallons of water used (cost of $427), and labor costs for 250 hours (cost of $2,600). Required: 1. Calculate Suds & Cuts direct materials Variances for both shampoo and water for the month of July 2. Calculate Suds & Cuts direct labor variances for the month of July, Complete this question by entering your answers in the tabs below. Require Required 2 Calculate Suds & Outs direct materiais variances for both shampoo and water for the month of July. (Round your answers to 2 decima pubes. Indicate the effect of variance by selecting for f orbi for unfavorable, and Noner for ind effect zero Variance Dired Matenal Prior. Vanlance Direct Matena Quanúty Vanade quind 2 P

Answer 1

Ť sud & cut Iragi water shampoo Direct material Price variance is 21-5 U Direct material quality variance $90.6 U $183 $ 107.6 U U. > Shampoo: Jom price variance: HOC sp - AP] 705 [$0.30-0.33] $ 2115 Favoscible (2) Dm quality variance = SP CAO-So] = $0.30 [ Fos- 403) = $90.6 unfavoverble 1.3 rso = 310 60ths X AP= 705 = 232.65 ounce = 705 = 403 $0.33 > Wales (1) DM price variance - AO [SP-AP) > 6100 C 0.04 -0.07) - $183 Unfavorable (2) Dm quality variance - SP CAO SO] = 0.04 C SIDO - 3010] = $107.6 und TAP = $427 = cloo soo7 Iso = 1 l gallon X 310 = 3410)

RO2 Labor selle variance labor efficiency variance $ 350 U & 2 63.5 F corale variance = AH [SR - AR] = 250 Hour [$9 - $ 10.4] = $ 350 unfavorable CAR = $ 2600 = 250 = $10.4] I (2) efficiency variance SRCAH-SH] = $9 [250 - 263.5] = $121.5 Favorable CSH = 310 baths x 085 hour = 2635