21.a.

Directmaterial
Raspberries(7.5qts.*$0.80perqt.)
Otheringredients(10gal.$0.45pergal.)
Directlabor
Sorting[(3min.6qts.)60min.)$9.00]
Blending[(12min.60)$9.00perhr.]
Packaging(40qts.**$0.38perqt.)
Standardcostper10gallonbatch

$6.00
4.50
$2.70
1.80

$10.50
4.50
15.20
$30.20

6qts.(5/4)=7.5qts.requiredtoobtainsixacceptablequarts
4qts.pergallon10gallons=40quarts

**

22. a. Totalpurchases=APAQp=$0.13115,000=$14,950
b.Materialpricevariance =(APAQp)(SPAQp)
=$14,950($0.14115,000)
=$14,950$16,100
=$1,150F

Materialquantityvariance

=(SPAQu)(SPSQ)
=($0.14100,000)($0.1497,900)
=$14,000$13,706
=$294U

23. a. $10,0804,200=$2.40perquart
SQ=1,000units4quarts=4,000
AQAP
4,200$2.40
$10,080

AQSP
4,200$2.50
$10,500

$420F
MaterialPriceVariance
b.

SQSP
4,000$2.50
$10,000

$500U
MaterialUsageVariance

The price variance would be based on the quantity of material

purchased,whiletheusagevariancewouldbebasedonthequantityofmaterialusedin
production.Becausetheusagevarianceisbasedonthesamequantitiesasin(a),itdoes
notchange.
AQpAP
6,000$2.40
$14,400

AQpSP
6,000$2.50
$15,000

$600F
MaterialPriceVariance
27. a. Sincethelaborratevarianceisfavorable,theactualcostofdirectlaborisless(by$5,500)
thanthestandardcost.Thestandardcostis$80,500.
APAQ
$7.5010,000
$75,000

$5,500F
LaborRateVariance

SPAQ
SP10,000
$80,500

$80,50010,000actualdirectlaborhoursequalsastandardrateof$8.05.

b.

Sincetheactualhoursare1,000lessthanthestandard,theefficiency
varianceis1,000hours$8.05=$8,050U.
APAQ
$7.5010,000
$75,000

SPAQ
$8.0510,000
$80,500

$5,500F
LaborRateVariance
WorkinProcessInventory
LaborEfficiencyVariance
LaborRateVariance
WagesPayable

SPSQ
$8.059,000
$72,450

$8,050U
LaborEfficiencyVariance
72,450
8,050

5,500
75,000

28. a. Actualcost=Standardcost+Totalunfavorablevariance
=($250350)+$3,500
=$87,500+$3,500
=$91,000
b.

c.

Laborefficiencyvariance=(SPAH)(SPSH)
=($250330)($250350)
=$82,500$87,500
=$5,000F
Ratevariance+Efficiencyvariance=Totalvariance
Ratevariance+($5,000F)=$3,500U
Ratevariance=$3,500+$5,000
Ratevariance=$8,500U