Kowaleski Corporation Makes a Product with the Following Standard Costs

question 89

Essay

Kowaleski Corporation makes a product with the following standard costs: In June the company produced 9,100 units using 27,010 kilos of the direct material and 930 direct labor-hours. During the month the company purchased 30,600 kilos of the direct material at a price of $3.70 per kilo. The actual direct labor rate was $19.90 per hour and the actual variable overhead rate was $4.20 per hour. The materials price variance is computed when materials are purchased. Variable overhead is applied on the basis of direct labor-hours.
Required:
a. Compute the materials quantity variance.
b. Compute the materials price variance.
c. Compute the labor efficiency variance.
d. Compute the labor rate variance.
e. Compute the variable overhead efficiency variance.
f. Compute the variable overhead rate variance.

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Definitions:

Child Sexual Abuse

Involves a child engaging in sexual activities that they cannot comprehend, for which they are not developmentally prepared and cannot give consent, or that violate the laws or social taboos of society.

Perpetrator

An individual who commits a harmful, illegal, or immoral act.

Limbic System

A complex system of nerves and networks in the brain, involved in instinct and mood control, as well as basic emotions such as fear and pleasure.

Prefrontal Cortex

The region of the brain situated in the anterior portion of the frontal lobe, linked with advanced cognitive functions, the manifestation of personality, the process of making decisions, and the regulation of social conduct.