Question

John’s Weed-B-Gone yard service sprays lawns to rid them of weeds. John mixes the two chemicals, Weed-X and Pest-O, in proportions depending on the climate and the particular weed problems of the season. A standard mix calls for a gallon of the mixture to combine equal parts of Weed-X and Pest-O. Weed-X has a standard cost of $9.80 per gallon and Pesto-O has a standard cost of $25.00 per gallon. Each gallon can treat 100 square yards of lawn. John expects to treat 536,000 square yards of lawn.

For the past season, John treated 653,000 square yards. He used 3,300 gallons of Weed-X and 3,100 gallons of Pest-O. He paid a total of $30,030 for the Weed-X and $76,260 for the Pest-O.

Required:

a. Compute the materials price and efficiency variances for the season. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.)

b. Compute the materials mix and yield variances for the season. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.)

Answer 1