Direct materials price, efficiency, yield and mix variances. (35 minutes) Granoline, SA, manufactures cereal products such as multi-grain porridge and breakfast cereals. It makes multi-grain porridge by blending barley, wheat and rye. Budgeted costs to produce 100,000 kg of multigrain porridge in November 2000 are as follows:

REQUIRED 1. Calculate the total direct materials price and efficiency variances for November 2000.
2. Calculate the total direct materials mix and yield variances for November 2000.
3. Comment on your results in requirements | and 2.

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45,000 kg of barley at BFr 0.30 per kg 180,000 kg of wheat at BFr 0.26 per kg 75,000 kg of rye at BFr 0.22 per kg Actual costs in November 2000 are 62,000 kg of barley at BFr 0.28 per kg 155,000 kg of wheat at BFr 0.26 per kg 93,000 kg of rye at BFr 0.20 per kg BFr 13,500 46,800 16,500 BFr 17,360 40,300 18,600