Question
In: Accounting
Which of the following formulas is used to calculate thematerials price variance? a. (Actual price...
Which of the following formulas is used to calculate the materials price variance?
a. (Actual price × Actual quantity) – (Standard price × Actual quantity)
b. (Actual price × Actual quantity) – (Standard price × Standard quantity)
c. (Fixed price × Average quantity) – (Standard price × Actual quantity)
d. (Variable price × Actual quantity) – (Total price × Actual quantity)
e. None of these choices are correct.
Solutions
Expert Solution
The correct answer is:
a. (Actual price × Actual quantity) – (Standard price × Actual quantity)
Notes
Simply put = AQ*AP - AQ*SP
Direct material price variance is the variance caused due to difference between standard and actual price.
ekkarill92 answered 2 years agoRelated Solutions
A favorable direct materials price variance indicates which of the following: A. The actual quantity of...
A favorable direct materials price variance indicates which of
the following:
A.
The actual quantity of material used was less than the standard
quantity of material used.
B.
The standard cost of materials purchased was greater than the
actual cost of materials purchased.
C.
The actual cost of materials purchased was greater than the
standard cost of materials purchased.
D.
The standard cost of materials purchased was less than the
actual cost of materials purchased.
The general model for calculating a quantity variance is: Multiple Choice Actual price × (Actual quantity...
The general model for calculating a quantity variance is:
Multiple Choice
Actual price × (Actual quantity of inputs used − Standard
quantity allowed for output).
Standard price × (Actual quantity of inputs used − Standard
quantity allowed for output).
(Actual quantity of inputs used × Actual price) − (Standard
quantity allowed for output × Standard price).
Actual quantity of inputs used × (Actual price − Standard
price).
The following standards have been established for a raw material
used to make...
1. Price (rate) variance is: a.the difference between the actual and standard unit price of an...
1.
Price (rate) variance is:
a.the difference between the actual and standard unit price of
an input multiplied by the standard input.
b.the difference between the actual and standard unit price of
an input multiplied by the number of inputs used.
c.the difference between the actual and standard input used
multiplied by the standard unit price of the input.
d.the difference between the actual and standard input used
multiplied by the actual unit price of the input.
2.
Which of...
Below is the variance report Prior year Item Budget Actual Variance Variance % Actual Days in...
Below is the variance report
Prior year
Item
Budget
Actual
Variance
Variance %
Actual
Days in time period
31
31
31
Staffed Beds
20
20
20
Patient days
527
498
(29.0)
-5.5%
415
Total RN FTEs
45.1
50.1
(5.0)
-11.1%
36.7
Revenue:
Gross patient revenue
$460,450
$441.932
($18,518)
-4.0%
$417,883
Personnel Expense:
Total salaries and wages
$171,920
$192,845
($20,925)
-12.2%
$141,552
Benefits
$51,576
$52,797
($1,221)
-2.4%
$42,466
Total personnel expenses
$223,496
$245,642
($22,146)
-9.9%
$184,018
Overtime wages %
2.0%
6.1%...
Given the following price and dividend information: A. calculate the sample variance for the returns. (Round...
Given the following price and dividend information:
A. calculate the sample variance for the returns. (Round to 4
decimals)
B. calculate the arithmetic average return. (Round to 4
decimals)
C.calculate the geometric average return. (Round to 4
decimals)
D.calculate the sample standard deviation for the returns.
(Round to 4 decimals)
Year
Price
Dividend
0
50.72
1
43.54
1.75
2
49.22
2.10
3
51.30
2.20
4
52.45
2.50
5
56.35
2.75
Moving Averages. Use the below actual sales to calculate a three-year average which will be used as...
Moving Averages. Use the below
actual sales to calculate a three-year average
which will be used as the forecast for next periods (chapter 14,
text).
Exponential Smoothing. Use the same data to
forecast sales for the next periods with α=.40 (chapter 14,
text).
Regression Analysis on Excel. Draw a scatter
graph from Insert/Graph/Scatter graph selections in Excel (chapter
15, text).
Month
Actual Sales
1
3050
2
2980
3
3670
4
2910
5
3340
6
4060
7
4750
8
5510
9
5280...
Calculate the bond price, duration, actual changes in bond price, and changes in bond price based...
Calculate the bond price, duration, actual changes in bond
price, and changes in bond price based on duration. Coupons are
paid at the end of each year. (Mostly need help with the bottom
section)
Maturity, in years
20
YTM
5%
Coupon rate
6%
Face value
1,000
Bond price
Year
Ct
t*Ct/(Price*(1+YTM)^t)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
Duration
Change in YTM
Actual change in bond price...
Calculate total sales mix variance, Direct Materials Variance Price, Direct Materials Variance Efficiency, Dircet Labor Variance...
Calculate total sales mix variance, Direct Materials Variance
Price, Direct Materials Variance Efficiency, Dircet Labor Variance
Rate & Efficiency, Variable overhead variance spending, and
Selling and General Admin Variance.
Scooter's Inc
Summary of Standard Costs
Summary of Standard Costs
Deluxe
Beginner
Assembly kit per scooter
$
400
$ 200
Direct labor hours per scooter
3
1
Direct labor rate per hour
$
25
$
15
Variable overhead rate per scooter
$
35
$
35
Sales Price
2017
2018...
Which of the following mathematical expressions is used to compute the materials usage variance?
Which of the following mathematical expressions is used to
compute the materials usage variance? a. (Fixed price × Standard
quantity) + (Variable price × Actual quantity) b. (Actual price ×
Standard quantity) + (Actual quantity × Standard price) c. (Average
price × Average quantity) – (Standard price × Standard quantity) d.
(Standard price × Actual quantity) – (Standard price × Standard
quantity) e. None of these choices are correct.
Give citations for the following that can be used: Direct materials price variance (based on materials...
Give citations for the following that can be used:
Direct materials price variance (based on materials used)
Direct materials usage variance
Direct labor variance
Direct labor efficiency variance
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