Question

In: Accounting

1.1 INFORMATION: Britelite Manufacturers produces a product which has the following standard costs: Material A: 3...

1.1 INFORMATION:

Britelite Manufacturers produces a product which has the following standard costs:

Material A: 3 kilograms at R20 per kilogram

Material B: 5 kilograms at R15 per kilogram

Direct labour: 8 hours at R10 per hour

Fixed overheads: R120 000

Budgeted production: 9 000 units

Actual results for February 2019 were as follows:

Material A: 32 500 kg at R22 per kilogram

Material B: 54 000 kg at R14 per kilogram

Direct labour: 88 000 hours at R12 per hour

Fixed overheads: R132 000

Production: 10 000 unit

REQUIRED:

Calculate the following:

1.1.1 Material mix variance (6)

1.1.2 Material yield variance (6)

1.1.3 Fixed manufacturing overheads volume capacity variance (3)

1.1.4 Fixed manufacturing overheads volume efficiency variance (2)

Solutions

Expert Solution

We were unable to transcribe this image

We were unable to transcribe this image

We were unable to transcribe this image

Page No. Date Material Variance A B e D SRASO & Rosny SRAAQ AKXAR As 320x80000 20x32437.5 20x32500 =R640000 3648750 3K 650000 22x32500 R 715000 B = 15x 50000 15x S4000 14x54000 15xshob 54062.50 DR810937.50 3 K750000 =R810000 =R. 756000 SQ = Standasd Quantity for Actual out put Stanland out Put (audgeteel Production &Q For A = 80008 3 2 27000 9000 units 8000x 5 45000 - b SQ for Actual out fut | Production : Actual Produchiên 10000 units SQ For Actual Production For A 10000X 33 130000 kg, For A 10 000X S3 50000 kg. SR Standasd Rate AR-Actual Rate

ekkarill92 answered 2 years ago
Next > < Previous

Related Solutions

QUESTION 1 (30 MARKS) 1.1 INFORMATION: Britelite Manufacturers produces a product which has the following standard...
QUESTION 1 1.1 INFORMATION: Britelite Manufacturers produces a product which has the following standard costs: Material A: 3 kilograms at R20 per kilogram Material B: 5 kilograms at R15 per kilogram Direct labour: 8 hours at R10 per hour Fixed overheads: R120 000 Budgeted production: 9 000 units Actual results for February 2019 were as follows: Material A: 32 500 kg at R22 per kilogram Material B: 54 000 kg at R14 per kilogram Direct labour: 88 000 hours at...
Superlight Limited has the following standard information for its single product: Quantity Standard Price Standard Material...
Superlight Limited has the following standard information for its single product: Quantity Standard Price Standard Material 7 kilogram per unit $1.50 per kilogram Labour 2.5 hours per unit $20 per hour In March, the company produced 6,000 units. Actual data associated with March’s operations are as follows: Materials purchased 19,000 kilograms at a cost of $26,100 Material used in production 51,000 kilograms Labour used in production 14,500 hours at $23 per hour Required: Calculate the material price variance and material...
The Bradley Corporation produces a product with the following costs as of July 1, 20X1: Material...
The Bradley Corporation produces a product with the following costs as of July 1, 20X1: Material $4 per unit Labor 4 per unit Overhead 2 per unit Beginning inventory at these costs on July 1 was 3,500 units. From July 1 to December 1, 20X1, Bradley produced 13,000 units. These units had a material cost of $4, labor of $6, and overhead of $4 per unit. Bradley uses LIFO inventory accounting. a. Assuming that Bradley sold 15,000 units during the...
Ruby Company produces a chair for which the standard specifies 3 yards of material per unit....
Ruby Company produces a chair for which the standard specifies 3 yards of material per unit. The standard price of one yard of material is $10.40. During the month, 5,900 chairs were manufactured, using 17,300 yards at a cost of $9.78 per yard. Determine the following: Enter favorable variances as negative numbers. a. Direct materials price variance $ b. Direct materials quantity variance $ c. Total direct materials cost variance $
Al Fara Corporation makes a product with the following standard costs: Direct material: 10 ounces at...
Al Fara Corporation makes a product with the following standard costs: Direct material: 10 ounces at $1.50 per ounce $ 15.00 Direct labor: 0.6 hours at $30.00 per hour   18.00 Variable manufacturing overhead: 0.6 hours at $10.00 per hour 6.00 Total standard variable cost per unit   $27.00 Budgeted units to be produced 2,000 During October, 1,900 unitswere produced. The company reported the following results concerning this product at the end of  October: Material purchased: 18,000 ounces at $2.00 per ounce $36,000...
A manufacturing company produces two products, which has the following information: Characteristic Product 1 Product 2...
A manufacturing company produces two products, which has the following information: Characteristic Product 1 Product 2 Profit/unit $4 $2 Dept. A hours/unit 1 1 Dept. B hours/unit 2 4 Last month’s production schedule used 400 hours of labor in department A and 950 hours of labor in department B. The management has been experiencing problems during the past six months because of variable monthly department workload amounts. Management would like to develop a production schedule for the coming month that...
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one...
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product. Direct materials (6 pounds at $1.50 per pound) $9.00 Direct labor (1 hours at $10.00 per hour) $10.00 During the month of April, the company manufactures 150 units and incurs the following actual costs. Direct materials purchased and used (1,500 pounds) $2,400 Direct labor (160 hours) $1,584 Compute the total, price, and quantity variances for materials and labor. Total Material...
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one...
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product. Direct materials (6 pounds at $1.80 per pound) $10.80 Direct labor (4 hours at $13.00 per hour) $52.00 During the month of April, the company manufactures 170 units and incurs the following actual costs. Direct materials purchased and used (1,900 pounds) $3,610 Direct labor (720 hours) $9,288 Compute the total, price, and quantity variances for materials and labor. Total materials...
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one...
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product. Direct materials (8 pounds at $2.50 per pound) $20 Direct labor (3 hours at $12.00 per hour) $36 During the month of April, the company manufactures 230 units and incurs the following actual costs. Direct materials purchased and used (1,900 pounds) $5,035 Direct labor (700 hours) $8,120 Instructions Compute the total, price, and quantity variances for materials and labor.
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one...
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product. Direct materials (6 pounds at $3.20 per pound) $19.20 Direct labor (1 hours at $12.00 per hour) $12.00 During the month of April, the company manufactures 340 units and incurs the following actual costs. Direct materials purchased and used (2,500 pounds) $8,250 Direct labor (360 hours) $4,248 Compute the total, price, and quantity variances for materials and labor. Total materials...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT