Please do not give solution in image format thanku Mickley Corporation produces two products, Alpha6s and Zeta7s, which pass through two operations, Sintering and Finishing. Each ofthe products uses two raw materials-X442 and Y661. The company uses a standard cost system, with the following standards for eachproduct (on a per unit basis):RawProductMaterialX442 Y661Alpha6 2.5Zeta7 4.5StandardLabor TimeSinteringY661 16,200liters 0.10 hours 1.00 hours.liters 0.30 hours 1.20 hoursInformation relating to materials purchased and materials used in production during May follows:Material Purchases Purchase Cost Standard Price Used in ProductionX442 15,200kilos$ 42,560$ 2.60$ 1.60kiloskilosFinishing2.5liters5.0per kilo 9,700per literkilos$ 24,300The following additional information is available:The company recognizes price variances when materials are purchased.The standard labor rate is $23.00 per hour in Sintering and $21.00 per hour in Finishing.During May, 1,320 direct labor-hours were worked in Sintering at a total labor cost of $31,680, and 2,970 direct labor-hours wereworked in Finishing at a total labor cost of $68,310.Production during May was 1,800 Alpha6s and 1,200 Zeta7s.Required:14,200 liters1. Complete the standard cost card for each product, showing the standard cost of direct materials and direct labor.2. Compute the materials price and quantity variances for each material.3. Compute the labor rate and efficiency variances for each operation.

Material price variance It is the difference between the budgeted material costs and how much that…

Mickley Corporation produces two products, Alpha6s and Zeta7s, which pass through two operations, Sintering and Finishing. Each of the products uses two raw materials-X442 and Y661. The company uses a standard cost system, with the following standards for each product (on a per unit basis): Raw Material Product X442 Y661 Alpha6 2.5 Zeta7 4.5 Standard Labor Time Sintering Y661 16,200 kilos liters 0.30 hours 1.20 hours Information relating to materials purchased and materials used in production during May follows: Material Purchases Purchase Cost Standard Price Used in Production X442 15,200 kilos $ 42,560 $ 2.60 $ 24,300 $1.60 The following additional information is available: The company recognizes price variances when materials are purchased. The standard labor rate is $23.00 per hour in Sintering and $21.00 per hour in Finishing. During May, 1,320 direct labor-hours were worked in Sintering at a total labor cost of $31,680, and 2,970 direct labor-hours were worked in Finishing at a total labor cost of $68,310. Production during May was 1,800 Alpha6s and 1,200 Zeta7s. Required: kilos Finishing 2.5 liters liters 0.10 hours. 1.00 hours 5.0 per kilo per liter 9,700 kilos 14,200 liters 1. Complete the standard cost card for each product, showing the standard cost of direct materials and direct labor. 2. Compute the materials price and quantity variances for each material. 3. Compute the labor rate and efficiency variances for each operation.

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 5PB: Wrappers Tape makes two products: Simple and Removable. It estimates it will produce 369,991 units...