Problem - The Sudbury, South Carolina, plant of Saldanha Sports Company has the following standards for its soccer ball production:
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Standards:
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Material per soccer ball
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0.25 yard
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Material Price/Yard
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$16.00
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Direct Labor Hours/ball
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0.2 hour
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Rate/Hour
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$10.00
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Variable Support Cost Rate
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$15.00
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Actual results for October:
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Yards Used
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13000
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Total Cost of Leather
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$205,150.00
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Direct Labor Hours
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8240
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Rate/Hour
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$9.50
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Variable Support Costs
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$131,840.00
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No. of Soccer Balls Manufactured
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40,000
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Calculate the following variances:
A. Total Direct Material Cost Variance
B. Total Direct Labor Cost Variance
C. Total Variable Support Cost Variance
D. Direct Material Price Variance
E. Direct Material Quantity Variance
F. Direct Labor Rate Variance
G. Direct Labor Efficiency Variance
H. Variable Support Rate Variance
I. Variable Support Efficiency Variance