Last year caan enterprises budgeted for production and


Question - Last year, Caan Enterprises budgeted for production and sales of 28,000 leather briefcases. Caan produced and sold 27,250 briefcases. Each briefcase has a standard requiring 4 feet of material at a budgeted cost of $3.3 per foot and 60 minutes of sewing time at a cost of $0.23 per minute. The briefcases sell for $60. Actual costs for the production of 27,250 briefcases were $268,920 for materials (81,000 feet at $3.32 per foot) and $404,500 for labor (1,618,000 minutes at $0.25 per minute).

What is the briefcase's direct material price variance?

What is the briefcase's direct material usage variance?

What is the briefcase's direct labor rate variance?

What is the briefcase's direct labor efficiency variance?

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Accounting Basics: Last year caan enterprises budgeted for production and
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