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Q1) The following direct materials and labor data pertain to operations of Solario Manufacturing Company for month of August.

 

Costs
Actual labor rate $13 per hour
Actual material price $128 per ton
Standard labor rate $12 per hour
Actual material price $130 per ton

 

 

Quantities
Actual hours incurred and used 4,200 hours
Actual quantity of materials purchases and used 1,225 tons
Standard hours used 4,300 hours
Standard quantity of materials used 1,200 tons

 

problem:

 

Give two possible description for each of unfavorable variances (a), and recommend where responsibility for  unfavorable result might be placed.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M921486

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