Primera Parte: Marco Teórico
II. Educación y Sociedad
2. La educación crítica
Standard DL Time per Unit
84. Hansen Company is a chemical manufacturer that supplies various products to industrial users. The company plans to introduce a new chemical solution called Bysap, for which it needs to develop a standard product cost. The following labor information is available on the production of Bysap.
The product, which is bottled in 10-liter containers, is primarily a mixture of Byclyn, Salex, and Protex.
The finished product is highly unstable, and one 10-liter batch out of six if rejected at final inspection. Rejected batches have no commercial value and are thrown out.
It takes a worker 35 minutes to process one 10-liter batch of Bysap.
Employees work eight hours a day, including one hour per day for rest breaks and cleanups.
What is the standard labor time to produce one 10-liter batch of Bysap?
A. 35 minutes. C. 48 minutes.
B. 40 minutes. D. 45 minutes. Pol Bobadilla
Standard DL Cost per Unit
65. The following direct labor information pertains to the manufacture of product Glu:
Time required to make one unit 2 direct labor hours
Number of direct workers 50
Number of productive hours per week, per worker 40
Weekly wages per worker $500
Workers’ benefits treated as direct labor costs 20% of wages What is the standard direct labor cost per unit of product Glu? (M)
a. $30. c. $15.
b. $24. d. $12. AICPA 0592 II-46
*. Each unit of Product 8 in 1 requires two direct labor hours. Employee benefit costs are treated as direct labor costs. Data on direct labor are as follows:
Number of direct employees 25
Weekly productive hours per employee 30
Estimated weekly wages per employee $240
Employee benefits (related to weekly wages) 25%
The standard direct labor cost per unit of Product 8in1 is: (M)
A. $8.00 C. $12.00
B. $10.00 D. $20.00 CMA adapted
66. Media Co. manufactures televisions. The following direct labor information relates to the manufacture of televisions.
Number of workers 60
Number of productive hours per week, per worker 40
Hours required to make 1 unit 3
Weekly wages per worker $600
Employee benefits treated as direct labor costs 20% of wages What is the standard direct labor cost per unit? (M)
A. $54 C. $30
B. $36 D. $18 Gleim
62. The following direct labor information pertains to the manufacturer of Part SARS:
Number of hours required to make a part 2.5 DLH
Number of direct workers 75
Number of total productive hours per week 3,000
Weekly wages per worker P1,000
Laborer’s fringe benefits treated as direct labor costs 25% of wages What is the standard direct labor cost per unit of Parts SARS? (M)
A. P62.500 C. P41.670
B. P78.125 D. P84.125 Pol Bobadilla
67. Each unit of Product XK-46 requires three direct labor hours. Employee benefit costs are treated as direct labor costs. Data on direct labor are
Number of direct employees 25
Weekly productive hours per employee 35
Estimated weekly wages per employee $245
Employee benefits (related to weekly wages) 25%
The standard direct labor cost per unit of Product XK-46 is (M)
A. $21.00. C. $29.40.
B. $26.25. D. $36.75. CMA 0684 4-26
Standard DLH Allowed
28. Hart Company's labor standards call for 500 direct labor hours to produce 250 units of product. During October the company worked 625 direct labor hours and produced 300 units. The standard hours allowed for October would be: (E)
a. 625 hours. c. 600 hours.
b. 500 hours. d. 250 hours. G & N 9e
Total DL Variance
68. The following is a standard cost variance analysis report on direct labor cost for a division of a manufacturing company.
Job Actual Hours at
What is the total flexible budget direct labor variance for the division? (M) a. $1,00 unfavorable. c. $1,900 favorable.
b. $1,900 unfavorable. d. $2,000 unfavorable. CIA 0592 IV-18
Labor Rate Variance Given
69. Smith Company uses a standard cost system. The following information pertains to direct labor costs for the month of June.
Standard direct labor rate per hour $10.00
Actual direct labor rate per hour $9.00
Labor rate variance $12,000 favorable
Actual output 2,000 units
Standard hours allowed for actual production 10,000 hours What is the total labor budget variance for Smith Company? (D)
a. $12,000(F) d. $8,000(U)
b. $8,000(F) e. $20,000(U)
c. $12,000(U) H & M
DL Rate Variance
*. Below are FLX Corporation’s standard costs to produce one concrete table:
Direct raw
materials 2 kgs. P375 per kg.
Direct labor 30 minutes P31.25 per hour
In September, FLX produced 250 concrete tables. 520 kgs. of raw materials were used at a total cost of P193,440. A total of 128 direct labor hours were used at a cost of P4,096. The direct labor rate variance is (E)
a. P22.50 c. P64.75
b. P93.00 d. P96.00 RPCPA 1097
. JKL Company is using a direct labor cost standard of 4 hours and a P12 wage rate per hour for one of its products. Planned production was 300 units, but actual production was 250 units, using for each unit 3 labor hours at a P13 wage rate. What is the labor price variance? (E)
A. P750 unfavorable. C. P1,200 favorable.
B. P900 unfavorable. D. P750 favorable. RPCPA 1001 42. Genco paid $39,400 to direct labor for the production of 1,500 units.
Standards allow 2 labor hours per unit at a rate of $12.50 per hour. Actual hours totaled 2,900. The direct labor rate variance was (E)
a. $1,250 favorable. c. $3,150 unfavorable.
b. $3,150 favorable. d. $1,900 unfavorable. D, L & H 9e
42. Genco paid $78,800 to direct labor for the production of 1,500 units.
Standards allow 2 labor hours per unit at a rate of $25.00 per hour. Actual hours totaled 2,900. The direct labor rate variance was (E)
a. $2,050 favorable c. $6,300 unfavorable
b. $3,800 favorable d. some other number L & H 10e 46. Chippewa paid $32,225 to direct labor for the production of 1,700 units.
Standards allow 3 labor hours per unit at a rate of $6.50 per hour. Actual hours totaled 5,150. The direct labor rate variance was (E)
a. $1,250 favorable. c. $325 favorable.
b. $925 favorable. d. $325 unfavorable. D, L & H 9e
70. One of the items produced by a manufacturer of lawn and garden tools is a chain saw. The direct labor standard for assembling and testing a chain saw is 2.5 hours at $8 per hour. Budgeted production for October was 1,200 units. Actual production during the month was 1,000 units, and direct labor cost was $27,840 for 3,200 hours. Using a two-variance system, what was the direct labor price (rate) variance for October? (E)
A. $2,240 favorable. C. $3,840 favorable.
B. $2,240 unfavorable. D. $5,600 unfavorable. CIA 1189 IV-17
71. The standard direct labor cost to produce one pound of output for a company is presented below. Related data regarding the planned and actual production activities for the current month for the company are also given below:
NOTE: DLH = Direct labor hours
Direct labor standard: 0.4 DLH @ $12.00 per DLH = $4.80
Planned production 15,000 pounds
Actual production 15,500 pounds
Actual direct labor costs (6,250 DLH) $75,250 The company's direct labor rate variance for the current month is (E) A. $10 unfavorable. C. $248 unfavorable.
B. $240 unfavorable. D. $250 unfavorable. CIA 0597 III-89 . Blasto Company produces bug-bombs. Direct labor standards for the firm
and actual data for the month of April are shown below:
Standard labor rate per hour $6
Standard hours allowed per bug-bomb 0.05
Actual bug-bombs produced in April 50,000
Actual labor costs for April $17,400
Actual labor hours recorded for April 3,000 Blasto’s labor rate variance for April was (E)
A. $640 unfavorable. C. $560 unfavorable.
B. $600 favorable. D. $500 favorable. Flamholtz &
Diamond
48. The following labor standards have been established for a particular product:
Standard labor hours per unit of output 1.7 hours
Standard labor rate $14.05 per hour
The following data pertain to operations concerning the product for the last month:
Actual hours worked 3,700 hours
Actual total labor cost $50,690
Actual output 2,300 units
What is the labor rate variance for the month? (E)
a. $1,295 F c. $4,246 F The following data pertain to operations concerning the product for the last month:
Actual hours worked ... 9,600 hours Actual total labor cost ... $144,480 Actual output ... 1,200 units What is the labor rate variance for the month? (E)
a. $1,920 F c. $1,920 U
b. $240 U d. $240 F G & N 9e
83. The following labor standards have been established for a particular product:
Standard labor hours per unit of output 8.1 hours
Standard labor rate $14.40 per hour
The following data pertain to operations concerning the product for the last month:
Actual hours worked 8,700 hours
Actual total labor cost $129,195
Actual output 1,000 units
What is the labor rate variance for the month? (E)
A. $450 F C. $3,915 U
B. $3,915 F D. $450 U G & N 10e
47. The following labor standards have been established for a particular product:
Standard labor hours per unit of output 9.0 hours
Standard labor rate $15.10 per hour
The following data pertain to operations concerning the product for the last month:
Actual hours worked 8,100 hours
Actual total labor cost $119,880
Actual output 800 units
What is the labor rate variance for the month? (E)
A. $11,160 F C. $11,160 U
B. $13,320 U D. $2,430 F G & N 10e
85. The following labor standards have been established for a particular product:
Standard labor hours per unit of output 9.8 hours
Standard labor rate $16.40 per hour
The following data pertain to operations concerning the product for the last month:
Actual hours worked 7,900 hours
Actual total labor cost $127,980
Actual output 700 units
What is the labor rate variance for the month? (E)
A. $140 U C. $140 F
B. $1,580 U D. $1,580 F G & N 10e
33. Operational statistics generated for the period just ended for APEX Manufacturing Co., maker of a line of furniture, follow:
Standards per set:
Materials 2.0 yards @ P100
Direct labor 0.5 hour @ P200
Actual results:
Production 20,000 sets
Materials used 37,000 yards
Price per yard P102
Direct labor hours used 9,000 hours
Direct labor cost P1,764,000
The direct labor rate variance was (E)
a. P36,000 favorable c. P40,000 favorable
b. P36,000 unfavorable d. P40,000 unfavorable RPCPA 1094
72. The flexible budget for the month of May 1993 was for 9,000 units at a direct materials cost of $15 per unit. Direct labor was budgeted at 45 minutes per unit for a total of $81,000. Actual output for the month was 8,500 units with $127,500 indirect materials and $77,775 in direct labor expense. The direct labor standard of 45 minutes was maintained throughout the month. Variance analysis of the performance for the month of May would show a(n) (E)
a. Favorable materials usage variance of $7,500.
b. Favorable direct labor efficiency variance of $1,275.
c. Unfavorable direct labor efficiency variance of $1,275.
d. Unfavorable direct labor price variance of $1,275. CMA 0693 3-15 Actual Direct Labor Hours
73. Smith Company uses a standard cost system. The following information pertains to direct labor costs for the month of June.
Standard direct labor rate per hour $10.00 Actual direct labor rate per hour $9.00
Labor rate variance $12,000 favorable
Actual output 2,000 units
Standard hours allowed for actual production 10,000 hours How many actual labor hours were worked during March for Smith Company? (D)
a. 10,000 d. 12,000
b. 2,000 e. 1,000
c. 1,200 H & M
87. The auto repair shop of Empire Motor Sales uses standards to control labor time and labor cost in the shop. The standard time for a motor tune-up is 2.5 hours. The record showing time spent in the shop last week on tune-ups has been misplaced; however, the shop supervisor recalls that 50 tune-ups were completed during the week and the controller recalls that the labor rate variance on tune-ups was $87, favorable. The shop has a set standard labor rate of $9 per hour for tune-up work. The total labor variance for the week on tune-up work was $93, unfavorable.
The number of actual hours spent on tune-up work last week was: (M) A. 125 hours.
B. 105 hours.
C. 145 hours.
D. Cannot be computed without further information. G & N 10e Actual Direct Labor Rate
52. The Reedy Company uses a standard costing system. The following data are available for November:
Actual direct labor hours worked 5,800 hours
Standard direct labor rate $9 per hour
Labor rate variance $1,160 favorable
The actual direct labor rate for November is: (M)
a. $8.80. c. $9.00.
b. $8.90. d. $9.20. G & N 9e
51. The Hanson Company employs a standard costing system. The following data are available for February:
Actual direct labor hours worked 6,500
Standard direct labor rate $8 per hour
Labor rate variance $2,600 favorable
The actual direct labor rate for February is: (M)
A. $7.60. C. $8.00.
B. $8.40. D. $2.50. G & N 10e
74. During October, 14,000 direct labor hours were worked at a standard cost of $40 per hour. If the direct labor rate variance for October was $70,000 favorable, the actual cost per direct labor hour must be (M)
a. $35 c. $45
b. $40 d. $50 H & M
75. During October, 20,000 direct labor hours were worked at a standard cost of $5 per hour. If the direct labor rate variance for October was $4,000 unfavorable, the actual cost per direct labor hour must be (M)
a. $5.20 c. $4.80
b. $5.00 d. $4.60 H & M
88. The auto repair shop of Empire Motor Sales uses standards to control labor time and labor cost in the shop. The standard time for a motor tune-up is 2.5 hours. The record showing time spent in the shop last week on tune-ups has been misplaced; however, the shop supervisor recalls that 50 tune-ups were completed during the week and the controller recalls that the labor rate variance on tune-ups was $87, favorable. The shop has a set standard labor rate of $9 per hour for tune-up work. The total labor variance for the week on tune-up work was $93, unfavorable.
The actual hourly rate of pay for tune-up work last week was: (M) A. $8.40 per hour.
B. $9.00 per hour.
C. $9.60 per hour.
D. Cannot be computed without further information. G & N 10e
Actual Direct Labor Cost
76. Sullivan Corporation’s direct labor costs for the month of March were as follows:
Standard direct labor hours 42,000
Actual direct labor hours 40,000
Direct labor rate variance – favorable $8,400
Standard direct labor rate per hour $6.30
What was Sullivan’s total direct labor payroll for the month of March? (E)
a. $243,600 c. $264,600
b. $252,000 d. $260,400 AICPA 1180 I-35
77. Daniel Corporation's direct labor costs for June were as follows:
Actual direct labor hours 32,000
Standard direct labor hours 33,600
Direct labor rate variance – favorable $6,720
Standard direct labor rate per hour $5.04
Compute Daniel's total direct labor payroll for the month of June. (E)
A. $154,560 C. $167,680
B. $154,880 D. $168,000 Gleim
*. The following information related to the direct labor costs of Valley Mfg.
Co., for the month of April 19x9:
Actual direct labor hours 57,000 hours
Standard direct labor hours 58,000 hours
Direct labor rate variance – favourable P8,550
Standard direct labor rate per hour P5.50
What was the total direct labor payroll of Valley Mfg. for the month of April 19x9? (E)
a. P310,300 c. P319,000
b. P322,050 d. P304,950 RPCPA 1089
Standard Direct Labor Rate
78. Information on ABC Company’s direct labor costs for the month of August is as follows:
Actual direct labor rate P7.50
Standard direct labor hours allowed 11,000
Actual direct labor hours 10,000
Direct labor price variance – unfavorable P5,000 The standard direct labor rate in January was (M)
a. P8,05 c. P7.00
b. P6.95 d. P8.00 RPCPA 1001
79. Information on Hanley’s direct labor costs for the month of January is as follows:
Actual direct labor rate $7.50
Standard direct labor hours allowed 11,000
Actual direct labor hours 10,000
Direct labor rate variance – favorable $5,500 The standard direct labor rate in January was (M)
a. $6.95 c. $8.00
b. $7.00 d. $8.05 AICPA 0582 I-25
80. Lake's direct labor costs for the month of May are as follows:
Standard direct labor hours allowed 12,500
Actual direct labor rate $8.25
Actual direct labor hours 10,000
Direct labor rate variance – favorable $5,600 What was Lake's standard direct labor rate in May? (M)
A. $7.69 C. $8.25
B. $7.80 D. $8.81 Gleim
DL Efficiency Variance
*. Alice & Co. has this selected information: standard direct labor hours of 2,000 at P7.00/hour and actual labor hours worked are 2,400 at an actual rate of P7.60/hour. The labor efficiency variance is (E)
a. P1,400 c. P2,800
b. P2,400 d. none of these RPCPA 1087
43. DIGITAL Products produces a product, Digit, and uses standard costing methods. The standard direct labor cost of Digit is one and one-half hours at P180 per hour. During October, 19x7, 500 Digit units were produced in 1,000 hours at P176 per hour. The direct labor efficiency variance is a favorable (an unfavorable) (E)
a. P30,000 c. P(30,000)
b. P45,000 d. P(45,000) RPCPA 1097
45. Palo Corp. manufactures one product with a standard direct labor cost of 2 hours at $6.00 per hour. During March, 500 units were produced using 1,050 hours at $6.10 per hour. The unfavorable direct labor efficiency variance is:
A. $100. C. $300.
B. $105. D. $305. G & N 10e
81. The direct labor standards for producing a unit of a product are two hours at $10 per hour. Budgeted production was 1,000 units. Actual production was 900 units, and direct labor cost was $19,000 for 2,000 direct labor hours. The direct labor efficiency variance was: (E)
A. $1,000 favorable C. $2,000 favorable
B. $1,000 unfavorable D. $2,000 unfavorable CIA adapted
82. Bell Co. manufactures a single product with a standard direct labor cost of 2 hours at $10.00 per hour. During November, 1,500 units were produced requiring 3,200 hours at $10.25 per hour. What was the unfavorable direct labor efficiency variance? (E)
A. $2,050 C. $1,250
B. $2,000 D. $1,200 Gleim
83. Yola Co. manufactures one product with a standard labor cost of 4 hours at
$12.00 per hour. During June 1,000 units were produced using 4,100 hours at $12.20 per hour. The unfavorable direct labor efficiency variance was (E)
a. $1,220 c. $820
b. $1,200 d. $400 AICPA 1192 II-21
. Genco paid $39,400 to direct labor for the production of 1,500 units.
Standards allow 2 labor hours per unit at a rate of $12.50 per hour. Actual hours totaled 2,900. The direct labor efficiency variance was (E)
a. $1,250 favorable. c. $3,150 unfavorable.
b. $3,150 favorable. d. $1,900 unfavorable. D, L & H 9e 43. Genco paid $78,800 to direct labor for the production of 1,500 units.
Standards allow 2 labor hours per unit at a rate of $25.00 per hour. Actual hours totaled 2,900. The direct labor efficiency variance was (E)
a. $2,500 favorable c. $6,300 unfavorable
b. $3,800 favorable d. some other number L & H 10e 47. Chippewa paid $32,225 to direct labor for the production of 1,700 units.
Standards allow 3 labor hours per unit at a rate of $6.50 per hour. Actual hours totaled 5,150. The direct labor efficiency variance was (E)
a. $1,250 favorable. c. $325 favorable.
b. $925 favorable. d. $325 unfavorable. D, L & H 9e 46. Yola Company manufactures a product with standards for direct labor of 4 direct labor-hours per unit at a cost of $12.00 per direct labor-hour. During June, 1,000 units were produced using 4,100 hours at $12.20 per hour. The direct labor efficiency variance was: (E)
a. $1,200 favorable. c. $2,020 favorable.
b. $1,200 unfavorable. d. $2,020 unfavorable. AICPA adapted
84. One of the items produced by a manufacturer of lawn and garden tools is a chain saw. The direct labor standard for assembling and testing a chain saw is 2.5 hours at $8 per hour. Budgeted production for October was 1,200 units. Actual production during the month was 1,000 units, and direct labor cost was $27,840 for 3,200 hours. Using a two-variance system, what is the direct labor efficiency variance? (E)
A. $2,240 unfavorable. C. $5,600 unfavorable.
B. $5,600 favorable. D. $6,090 favorable. CIA 1189 IV-18
85. The standard direct labor cost to produce one pound of output for a company is presented below. Related data regarding the planned and
actual production activities for the current month for the company are also given below:
NOTE: DLH = Direct labor hours
Direct labor standard: 0.4 DLH @ $12.00 per DLH = $4.80
Planned production 15,000 pounds
Actual production 15,500 pounds
Actual direct labor costs (6,250 DLH) $75,250 The company's direct labor efficiency variance for the current month is (E) A. $600 unfavorable. C. $2,400 unfavorable.
B. $602 unfavorable. D. $3,000 unfavorable. CIA 0597 III-90
86. The total budgeted direct labor cost of a company for the month was set at
$75,000 when 5,000 units were planned to be produced. The following standard cost, stated in terms of direct labor hours (DLH), was used to develop the budget for direct labor cost:
1.25 DLH x $12.00/DLH = $15.00/unit produced
The actual operating results for the month were as follows:
Actual units produced 5,200
Actual direct labor hours worked 6,600
Actual direct labor cost $77,220
The direct labor efficiency variance for the month would be (E) A. $4,200 unfavorable. C. $2,220 unfavorable.
B. $3,000 unfavorable. D. $1,200 unfavorable. CIA 1191 IV-15
50. Cameron Company has standard variable costs as follows:
Materials, 3 pounds at $4.00 per pound $12.00
Labor, 2 hours at $10.00 per hour 20.00
Variable overhead, $7.50 per labor hour 15.00
$47.00 During September, Chetek produced 5,000 units, using 9,640 labor hours at a total wage of $94,670 and incurring $78,600 in variable overhead. The direct labor efficiency variance is (E)
a. $1,730 favorable. c. $3,600 favorable.
b. $2,700 favorable. d. $5.330 favorable. D, L & H 9e
. Blasto Company produces bug-bombs. Direct labor standards for the firm and actual data for the month of April are shown below:
Standard labor rate per hour $6
Standard hours allowed per bug-bomb 0.05
Actual bug-bombs produced in April 50,000
Actual labor costs for April $17,400
Actual labor hours recorded for April 3,000
Blasto’s labor efficiency variance for April was (E)
A. $2,900 unfavorable. C. $3,000 favorable.
B. $2,820 favorable. D. $3,000 unfavorable. Flamholtz &
Diamond
87. A manager prepared the following table by which to analyze labor costs for the month:
Actual Hours at Actual Rate $10,000
Actual Hours at Standard Rate $9.800
Standard Hours at Standard Rate $8,820
What variance was $980? (E)
A. Labor efficiency variance. C. Volume variance.
B. Labor rate variance. D. Labor spending variance. CIA 0590 IV-15
16. A product requires 0.60 standard labor hours, the actual labor rate is $10 per hour, and production was 300 units. Actual labor cost was $1,862 at
$9.80. Which of the following is true? (E) a. The labor rate variance was $98 favorable.
b. The labor rate variance was $62 unfavorable.
c. The labor efficiency variance was $62 unfavorable.
d. The labor efficiency variance was $100 unfavorable. D, L & H 9e 92. The following labor standards have been established for a particular
product:
Standard labor hours per unit of output .. 7.5 hours Standard labor rate ... $15.25 per hour The following data pertain to operations concerning the product for the last month:
Actual hours worked ... 9,600 hours
Actual total labor cost ... $144,480 Actual output ... 1,200 units What is the labor efficiency variance for the month? (E)
a. $7,230 U c. $7,230 F
b. $9,030 U d. $9,150 U G & N 9e
84. The following labor standards have been established for a particular product:
Standard labor hours per unit of output 8.1 hours
Standard labor hours per unit of output 8.1 hours