Fremont,Inc

question 93

Essay

Fremont,Inc. ,builds storage boxes to custom order.Materials include 20 board feet of lumber at $1.25/board foot.Standards call for 2 hours of labor at $15/hr.During March,4,200 boxes were built.Materials purchased totaled $103,890 for 86,300 board feet of lumber.Actual lumber usage in production was 82,310 board feet.The March payroll was $139,360 for 9,150 hours.Required:
(Be sure to indicate whether the variance is favorable or unfavorable. )
a.Compute the direct material price variance.b.Compute the direct material quantity variance.c.Compute the direct labor rate variance.d.Compute the direct labor efficiency variance.

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Definitions:

Capitalist History

The historical development and evolution of capitalism, an economic system characterized by private ownership of production and the creation of goods or services for profit.

Violence

The use of physical force to harm someone, to damage property, or to coerce, intimidate, or enact power over others.

Pixar Pitch

A storytelling technique for presenting ideas that follows a six-sentence structure, inspired by the narrative style of Pixar films.

Potential Customers

Individuals or entities that are likely to be interested in a business's products or services but have not yet made a purchase.