Question

During March 2020, Sheffield Tool & Die Company worked on four jobs. A review of direct labor costs reveals the following summary data.

		Actual				Standard
Job Number		Hours		Costs		Hours		Costs		Total Variance
A257		210		$4,200		218		$4,360		$160	F
A258		440		10,120		429		8,580		1,540	U
A259		300		6,450		298		5,960		490	U
A260		120		2,280		112		2,240		40	F
Total variance										$1,910	U

Analysis reveals that Job A257 was a repeat job. Job A258 was a rush order that required overtime work at premium rates of pay. Job A259 required a more experienced replacement worker on one shift. Work on Job A260 was done for one day by a new trainee when a regular worker was absent.

Prepare a report for the plant supervisor on direct labor cost variances for March. (Round actual rate and standard rate to 2 decimal places, e.g. 10.50.)

SHEFFIELD TOOL & DIE COMPANY Direct Labor Variance Report March 31, 2020For the Month Ended March 31, 2020For the Year Ended March 31, 2020

Job No.

Actual Hours

Standard Hours

Quantity Variance

Actual Rate

Standard Rate

Price Variance

Price Variance

A257

$

FavorableUnfavorableNeither favorable nor unfavorable

$

$

$

Neither favorable nor unfavorableUnfavorableFavorable

New TraineeReplacement WorkerRepeat JobRush Job

A258

UnfavorableFavorableNeither favorable nor unfavorable

$

$

UnfavorableFavorableNeither favorable nor unfavorable

Replacement WorkerRepeat JobRush JobNew Trainee

A259

Neither favorable nor unfavorableFavorableUnfavorable

$

$

FavorableNeither favorable nor unfavorableUnfavorable

Replacement WorkerRush JobRepeat JobNew Trainee

A260

UnfavorableFavorableNeither favorable nor unfavorable

$

$

UnfavorableNeither favorable nor unfavorableFavorable

New TraineeRepeat JobRush JobReplacement Worker

Totals

$

UnfavorableFavorableNeither favorable nor unfavorable

$

FavorableNeither favorable nor unfavorableUnfavorable

Answer 1

Answer:- Job . Actual standard Hours costs o per Hour (B/A) Hours (4) Castow per hour(WA) A 257 210 $4200 20 218 $4,960 20 A258 1440 $10,120 23 429 $8.580 120 A259 300 $6,450 21.5 298 $5.960 20 Alb0 120 $2,280 19 112 $2,2401 20 Quality variouce FCAHESH Tx standard Rate price variance - (Actual Rate - Standard Rate) * Actual Hour Actual Standard quantity Adual standad price Hours Hours variance Rate I Rate variance A957 210 218 H160 None A258 440 429 220 1,320 1259 300 298 450 A260 120 119 20 Logo 21.5 Igu 120