Question : Answer the following questions using the information below: Sawyer Industries, : 1217239

 

Answer the following questions using the information below:

 

Sawyer Industries, Inc. (SII), developed standard costs for direct material and direct labor. In 2011, SII estimated the following standard costs for one of their major products, the 30-gallon heavy-duty plastic container.

 

Budgeted quantityBudgeted price

Direct materials0.20 pounds$25 per pound

Direct labor0.10 hours$15 per hour

 

During July, SII produced and sold 5,000 containers using 1,100 pounds of direct materials at an average cost per pound of $24 and 525 direct manufacturing labor hours at an average wage of $14.75 per hour.

 

11) July’s direct material flexible-budget variance is:

A) $1,400 unfavorable

B) $21,100 favorable

C) $2,500 unfavorable

D) None of these answers are correct.

 

12) July’s direct material price variance is:

A) $1,400 favorable

B) $1,100 favorable

C) $2,500 unfavorable

D) None of these answers are correct.

13) July’s direct material efficiency variance is:

A) $1,400 unfavorable

B) $1,100 favorable

C) $2,500 unfavorable

D) None of these answers are correct.

 

14) July’s direct manufacturing labor flexible-budget variance is:

A) $375.00 unfavorable

B) $131.25 favorable

C) $243.75 unfavorable

D) None of these answers are correct.

 

15) July’s direct manufacturing labor price variance is:

A) $375.00 unfavorable

B) $131.25 favorable

C) $243.75 favorable

D) None of these answers are correct.

16) July’s direct manufacturing labor efficiency variance is:

A) $375.00 unfavorable

B) $131.25 favorable

C) $243.75 favorable

D) None of these answers are correct.

 

Answer the following questions using the information below:

 

Apple Valley Orchards, Inc. (AVO), developed standard costs for direct material and direct labor. In 2011, AVO estimated the following standard costs for one of their most well loved products, the AVO classic Grandma’s large apple pie which had a brown sugar coating on the top of the crust as well as including cranberry and mince ingredients in addition to the apples.

 

Budgeted quantityBudgeted price

Direct materials1.5 pounds$7.25 per pound

Direct labor0.25 hours$14.00 per hour

 

During September, AVO produced and sold 1,200 pies using 1,875 pounds of direct materials at an average cost per pound of $7.00 and 280 direct labor hours at an average wage of $14.25 per hour.

 

17) September’s direct material flexible-budget variance is:

A) $100.00 unfavorable

B) $100.00 favorable

C) $75.00 unfavorable

D) None of these answers are correct.

18) September’s direct material price variance is:

A) $468.75 favorable

B) $468.75 unfavorable

C) $75.00 unfavorable

D) None of these answers are correct.

 

19) September’s direct material efficiency variance is:

A) $468.75 favorable

B) $468.75 unfavorable

C) $543.75 favorable

D) $543.75 unfavorable

 

20) September’s direct labor flexible-budget variance is:

A) $210.00 favorable

B) $210.00 unfavorable

C) $280.00 favorable

D) $280.00 unfavorable.