Sage CorpUses a Standard Cost System to Account for the Costs

question 16

Essay

Sage Corp.uses a standard cost system to account for the costs of its one product.Standards are 3 pounds of materials at $14 per pound and 4 hours of labor at a standard wage rate of $12.During July,Sage Corp.produced 3,300 units.Materials purchased and used totaled 10,100 pounds at a total cost of $142,650.Payroll totaled $146,780 for 13,150 hours worked.Calculate the:
a.direct labor rate variance.
b.direct labor efficiency variance.

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Definitions:

Adverse Possession

Open and notorious possession of real property over a given length of time that denies ownership in any other claimant.

Statutorily Prescribed

Requirements or procedures determined and mandated by written law.

Easement By Necessity

An easement that is created when it is essential for the reasonable use of a property, typically for access.

Subdivided

Refers to a piece of land or structure that has been divided into smaller parts for sale, lease, or development.