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Business, 05.11.2019 01:31 alexabessin
Prescott company employs a standard cost system in which direct materials inventory is carried at standard cost. the company has established the following standards for the prime costs of one unit of product: standard quantity standard price standard cost direct labor 2.6 hours $44.00/hour $114.40 direct materials 12.0 pounds $14.00/pound 168.00 during april, the company purchased 330,000 pounds of direct material at a total cost of $4,686,000. the total factory wages for june were $3,200,000, of which 90% was for direct labor. the company manufactured 25,000 units of product during april using 302,000 pounds of direct material and 64,000 direct labor hours. part (a) what is the price variance for the direct material acquired by the company during april? part (b) what is the direct material quantity variance for april? part (c) what is the direct labor rate variance for april? part (d) what is the direct labor efficiency variance for april?
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