Ferry Chemical Uses a Standard Cost System to Account for the Costs

question 39

Essay

Ferry Chemical uses a standard cost system to account for the costs of its production of Chemical X.Standards are 1.4 gallons of materials at $105 per gallon and 10 hours of labor at a standard wage rate of $12.During September,Ferry Chemical produced 2,600 gallons of Chemical X.Ferry Chemical purchased and used totaled 3,560 gallons at a total cost of $381,180.Payroll totaled $302,730 for 25,430 hours worked.Calculate the:
a.direct materials price variance.
b.direct materials quantity variance.
c.direct labor rate variance.
d.direct labor efficiency variance.

Recognize the concepts and implications of cognitive dissonance theory.

Appreciate the role of social and cultural influences on attitude-behavior consistency.

Identify strategies for predicting and improving attitude-behavior consistency.

Understand the theory of planned behavior and its components.

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Definitions:

Assembly Operation

The process in manufacturing where individual components are joined to form a complete product or part of a product.

Allowance Factor

A factor used in planning and scheduling to account for potential deviations from standard or expected performance.

Performance Rating

Represents a quantitative measure designed to evaluate the efficiency and productivity of an employee or a machine in the workplace.

Allowances

Financial compensations or extra quantities given to cover specific needs or requirements.