Standard cost

Related BrainMass Solutions

• Discuss the other advantages of using standard costs

  Fixed cost structure based on normal standard of efficiency is provided by standard costing. 8. Saves clerical cost: Installation of standard costing saves clerical labor and expanses of cost accounting.

• Variances in a Dress Manufacturing Operations

  Part A Standard cost per dress = Standard material cost + Standard labor cost = 3.8 * $2.75 + (20/60) * $10.65 = $14.00 ($10.45 in direct material and $3.55 in direct labor) Part B Price variance = (Actual price - Standard price) * Actual quantity

• Ikon Tire Co. - Computing Variance

  and standard cost per hour = 18,500 hr x ($17.88 - $18) = 18,500 hr x $0.12/hr = $2,220 F For the labor rate variance, the result is favorable because the actual cost per hour is lower than the standard cost per hour.

• Standard unit cost

  Using these production standards, compute the standard unit cost of one weather balloon. In computing the standard cost we calculate the standard cost of direct material, direct labor and overhead.

• Standard cost card for Alpha SR40

  Standard Cost Card Standard quantity per capsule 6.50 grams Standard Cost per gram 3 Standard cost per capsule 19.44 The solution explains how to prepare a standard cost card.

• Crede Manufacturing: Price and quantity variances

  hour = budgeted manufacturing overhead / normal capacity =327600/42000 = $7.8 per hour g) Standard cost per unit = Standard material cost + standard labor cost + standard overhead =0.87*4.1 + 4/3*12 + 4/3*7.8 = $29.967 h) Overhead applied =

• Standard Costing Pros/Cons

  Fixed cost structure based on normal standard of efficiency is provided by standard costing. 8. Saves clerical cost: Installation of standard costing saves clerical labour and expanses of cost accounting.

• Relevant cost for the special order decision

  25 20 Total Cost $90 $96 Not including the cost of the Standard unit Transfers from Standard to Deluxe are at standard full cost plus 10%.

• Bayou Resins Company: determine the price variance, quantity variance, total direct materials variance and more...

  Direct Materials Cost Variance: Standard Cost $6000 x $3.40 = $20,400 less Actual Cost $5930 x $3.50 = 20,755 gives us Unfavorable Direct Materials Cost variance of $355.

• Tuna Company: Compute the direct materials cost variance, including its price and quantity variances...

  Direct material Standard Cost 1,620,000 x 4.00 = 6480,000 less Actual Cost 1,615,000 x 4.10 = Cost Variance (unfavorable) 141,000 Price Variance = Standard Cost @ $4 less Actual Cost @ 4.10 = Price Variance $0.10 (Unfavorable) Quantity Variance = Standard