Not Specified

Your Company is            Alchemilla            Company

Manufacturing Cost Information for 10 foot concrete pipe with

18″ diameter

Manufacturing Cost Information

Direct Materials


Direct Labor

Machine Operator

Manufacturing Overhead

Variable Overhead

Fixed Overhead

Standard Quantity

1,980 Pounds 20 Hours

20 Hours

20 Hours

Standard cost of a single piece of 10′ 18″ pipe

        205,920 pounds of concrete at a total cost of: $  213,909.70
            1,900 hours of labor at a total labor cost of: $    41,925.40
  variable overhead cost applied $      2,120.00
  fixed overhead cost applied $      4,060.00

The company manufactured 100 pieces of pipe and incurred the following cost:

Calculate the folowing (Calculate the variance based on the production of 100 units)

Direct Materials Price Variance

Direct Materials Quantity Variance

Total Direct Materials Variance

Labor Rate Variance

Labor Time Variance Total Labor Variance


Standard Cost per Unit

$       1.06 per Pound
$    20.06 per Hour
$       1.06 per Direct Labor Hour
$       2.03 Per Direct Labor Hour


Total Cost per 10′ Pipe

$           2,098.80

$               401.20

$                 21.20

$                 40.60

$    2,561.80

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