Analyzing Manufacturing Cost Accounts Fire Rock Company manufactures designer paddle boards in a wide variety of sizes and styles. The following incomplete ledger accounts refer to transactions that are summarized for June: Materials June 1 Balance 38,900 June 30 Requisitions (A) June 30 Purchases 156,200 Work in Process June 1 Balance (B) June 30 Completed jobs (C) June 30 Materials (D) June 30 Direct labor (E) June 30 Factory overhead applied (F) Finished Goods June 1 Balance 0 June 30 Cost of goods sold (G) June 30 Completed jobs (H) Wages Payable June 30 Wages incurred 127,500 Factory Overhead June 1 Balance 22,000 June 30 Factory overhead applied (I) June 30 Indirect labor (J) June 30 Indirect materials 20,800 June 30 Other overhead 66,900

Skychefs, inc. prepares in-flight meals for a number of major airlines. one of the company's products is grilled salmon in dill sauce with baby new potatoes and spring vegetables. during the most recent week, the company prepared 4000 of these meals using 960 direct labor hours. the company paid these direct labor workers a total of $19,200 for this work, or $20.00 per hour. according to standard cost card for this meal, it should require 0.25 direct labour-hours at a cost of $19.75 per hour.1. what is the standard labor-hours allowed (sh) to prepare 4,000 meals? 2. what is the standard labor cost allowed (sh x sr) to prepare 4,000 meals? 3. what is the labor spending variance? 4. what is the labor rate variance and the labor efficiency variance?