question archive Cost Variance Analysis Derrick Company makes a chemical compound requiring the following standard prime costs per unit of output: Materials RM1 RM2 2 lb @ $1
Cost Variance Analysis Derrick Company makes a chemical compound requiring the following standard prime costs per unit of output: Materials RM1 RM2 2 lb @ $1
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Cost Variance Analysis Derrick Company makes a chemical compound requiring the following standard prime costs per unit of output: Materials RM1 RM2 2 lb @ $1.60 per lb. 3 gal @ $2.25 per gal Labor General Skilled 0.4 hr @ $5 per hr. 0.2 hr @ $8 per hr. During May, 10,000 units of output were manufactured from the following actual inputs and costs: Materials RM1 RM2 21,000 lb @ $1.55 per lb 29,500 gal @ $2.10 per gal Labor General Skilled 4,200 hr 2,100 hr 20,580 17,220 Required: a. Compute the standard prime cost per unit of product. b. Compute the actual prime cost per unit of product. c. Prepare a direct material variance analysis report for May d. Prepare a direct labor variance analysis report for May
