Barnes Company produces men's ties. The following budgeted amounts were provided by management for the current year: \[\begin{array} { | l | c | c | } \hline \text { Category } & \text { Standard Inputs } & \text { Standard Cost } \\ \hline \text { Direct materials } & 1.1 \text { yards per tee } & \text { \$4.00 per yard } \\ \hline \text { Direct labor } & 0.32 \text { hours per tie } & \text { \$9.00 per hour } \\ \hline \end{array}\] Barnes produced and sold 4,000 ties during 2014. Actual performance for the year is: \[\begin{array} { | l | l | l | r | } \hline { \text { Direct Materials } } & & { \text { Direct Labor } } \\ \hline \text { Yards used in production } & 4,100 & \text { Labor hours incurred } & 1,240 \\ \hline \text { Yards purchased } & 3,900 & \text { Actual cost per hour } & \$ 9.25 \\ \hline \text { Actual cost per yard } & \mathbf { \$ 3 . 7 5 } & & \\ \hline \end{array}\] How much is the labor rate variance?

A) $310 unfavorable B) $360 favorable C) $50 favorable D) $1,000 unfavorable A) $310 unfavorable B) $360 favorable C) $50 favorable D) $1,000 unfavorable

Harris Manufacturing produces white sauce. It uses units as the cost driver for overhead. The following information was provided concerning its standard cost system for 2014: $\begin{array}{ll}\text { Budgeted and Standard Data }&\text { Actual Data }\\ \begin{array}{|l|l|} \hline \text { Material } & 1 / 41 \mathrm{~b} . @ \$ 14 \text { per pound } \\ \hline \text { Labor } & 1.4 \mathrm{hrs} @ \$ 16 \text { per hour } \\ \hline \text { Total fixed overhead } & \$ 84,000 \\ \hline \text { Variable overhead } & \$ 6.50 \text { per unit } \\ \hline \text { Production } & 6,000 \text { units }\\\hline \end{array}&\begin{array}{|l|l|} \hline \text { Produced } & 6,200 \text { units } \\ \hline \text { Materials purchased } & 1,600 \mathrm{lbs} . \text { for } \$ 13.70 / \text { pound } \\ \hline \text { Materials used } & 1,520 \mathrm{lbs} . \\ \hline \text { Labor worked } & 8,740 \mathrm{hrs} . \text { at } \$ 15.90 / \text { hour } \\ \hline \text { Total overhead } & \$ 122,000\\\hline \end{array} \end{array}$ How much the direct material price variance for 2014?

A) $456 favorable B) $480 favorable C) $900 favorable D) $420 favorable A) $456 favorable B) $480 favorable C) $900 favorable D) $420 favorable

Harris Manufacturing produces white sauce. It uses units as the cost driver for overhead. The following information was provided concerning its standard cost system for 2014: $\begin{array}{ll}\text { Budgeted and Standard Data }&\text { Actual Data }\\ \begin{array}{|l|l|} \hline \text { Material } & 1 / 41 \mathrm{~b} . @ \$ 14 \text { per pound } \\ \hline \text { Labor } & 1.4 \mathrm{hrs} @ \$ 16 \text { per hour } \\ \hline \text { Total fixed overhead } & \$ 84,000 \\ \hline \text { Variable overhead } & \$ 6.50 \text { per unit } \\ \hline \text { Production } & 6,000 \text { units }\\\hline \end{array}&\begin{array}{|l|l|} \hline \text { Produced } & 6,200 \text { units } \\ \hline \text { Materials purchased } & 1,600 \mathrm{lbs} . \text { for } \$ 13.70 / \text { pound } \\ \hline \text { Materials used } & 1,520 \mathrm{lbs} . \\ \hline \text { Labor worked } & 8,740 \mathrm{hrs} . \text { at } \$ 15.90 / \text { hour } \\ \hline \text { Total overhead } & \$ 122,000\\\hline \end{array} \end{array}$ How much the direct labor efficiency variance for 2014?

A) $874 favorable B) $86 unfavorable C) $960 unfavorable D) $5,440 unfavorable A) $874 favorable B) $86 unfavorable C) $960 unfavorable D) $5,440 unfavorable

Steep, Inc. budgeted 6,000 cup holders for March. Each holder is sold for $12. Actual production for March was 6,300 cup holders. Standards and actual costs follow for March: $\begin{array}{|l|c|c|} \hline &\text { Standards }&\text { Actual }\\ \hline \text { Materials } & 1.1 \text { pounds @ \$2.40 a pound } & \begin{array}{c} 6,400 \text { pounds purchased for } \$ 15,040 \\ 6,450 \text { pounds used } \end{array} \\ \hline \text { Labor } & 0.10 \text { hours @ } \$ 14.00 \text { per hour } & 620 \text { hours @ } \$ 14.30 \text { per hour } \\ \hline \text { Variable overhead } & \$ 16,800 & \$ 18,400 \\ \hline \text { Fixed overhead } & \$ 9,600 & \$ 10,300\\ \hline \end{array}$ How much is the labor rate variance?

A) $140 favorable B) $186 unfavorable C) $46 unfavorable D) $280 favorable A) $140 favorable B) $186 unfavorable C) $46 unfavorable D) $280 favorable

Rodchester Company uses standard costing. Overhead is applied at $12 per unit produced. Data for the month of March follows: $\begin{array}{lr} \text { Actual overhead costs } & \$ 194,000 \\ \text { Actual units produced } & 17,400 \\ \text { Flexible budget overhead for units produced } & \$ 210,000 \end{array}$ How much is the overhead volume variance?

A) $16,000 favorable B) $17,200 favorable C) $1,200 unfavorable D) $14,800 unfavorable A) $16,000 favorable B) $17,200 favorable C) $1,200 unfavorable D) $14,800 unfavorable