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Loper corporation manufactures a single product. The standard cost per unit of product is as follows:$102412652The master manufacturing overhead budget for the month based on normal productive capacity of 15,000 direct labor hours (7,500 units) shows total variable costs of $90,000 ($6 per labor hour) and total fixed costs of $45,000 ($3 per labor hour). Normal productive capacity is 15,000 direct labor hours. Overhead is applied on the basis of direct labor hours. Actual costs for November in producing 7,400 units were as follows:$73,500181,78088,99044,000$388,270The purchasing department normally buys the quantities of raw materials that are expected to be used in production each month. Raw materials inventories, therefore can be ignored.Instruction:a) compare all of the materials and labor variancesb) compute the total overhead variance
Loper corporation manufactures a single product. The standard cost per unit of product is as follows:Direct materialsÂÂ2 pounds of plastic at $5 per pound $10Direct laborÂÂ2 hours at $12 per hour…
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