The U.R. Good Company produces a product using standard costs as follows:
a. Standard cost per unit
Materials 7 kilos at ₱ 3.50 per kilo
Labor 8 hours at ₱ 1.75 per kilo
Fixed MOH ₱ 1.15 per hour or ₱ 9.20 per unit
Variable MOH ₱ 0.85 per hour or ₱ 6.80 per unit
b. Overhead is applied on direct labor hours
c. Actual performance (1 month)
Volume produced 800
Labor hours 6,300
Overhead ₱13,200
Material Cost ₱ 3.45 per kilo
Labor Cost ₱ 1.80 per hour
Material Used 4,800 kilos
The Material Quantity Variance is ____________________ .
Group of answer choices
₱ 2,800 Favorable
₱ 250 Unfavorable
₱ 200 Favorable
₱ 240 Favorable
Audit Reports
Comp r ehensive Material Series Audit R eports 1) Explain why auditors’ reports are important to users of financial statements and why it is desirable to have standard wording. : Auditor's r eports a r e important to users of financial statements because they info r m users of the auditor's opinion as to whether or not the statements a r e fairly stated or whether no conclusion can be made with r ega r d to the fai r ness of their p r esentation . User s especiall y loo k fo r an y deviatio n f r o m th e wo r din g o f the standa r d unqualified r eport and the r easons and implications of such deviations. Having standa r d wo r ding imp r oves communications for the benefit of users of the auditor’s r eport. When the r e a r e departu r es f r om the standa r d wo r ding, users a r e mo r e li k e...
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