Answer Happy

Unit price Minh Hoang manufactures product B. The company uses a standurd costing system and sets the following standards for direct materials and labor (for a single product): Item Norm Cost Direct material 1kg 150,000 VND/kg 150,000VND/unit 4 hour Direct labor 20,000 VND/hour 80.000 VND/unit Minh Hoang produced 100,000 products of A with the material consumption of 110,000kg with the unit price of 155,000 VND/kg. Actual labor is 410,000 hours with unit price of 25,000 VND/hour. Expected output is 105,000 products. Required: 4.1 Break down the material cost variance into different related variances: price variance, usage variance and volume variance. 4.2 Break down the labor cost variance into different related variances: price variance, usage variance and volume variance. 4.3 Identify favorable and adverse variances.