=+objs. 2, 3

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c. Rate variance,

$140 U Cocoa Delights Chocolate Company makes dark chocolate and light chocolate. Both products require cocoa and sugar. The following planning information has been made available:

Standard Quantity Dark Chocolate Light Chocolate Standard Price per Pound Cocoa 12 lbs. 8 lbs. $4.50 Sugar 9 lbs. 13 lbs. 0.65 Standard labor time 0.35 hr. 0.50 hr.

Planned production 3,000 cases 5,000 cases Standard labor rate $14.40 per hr. $14.00 per hr.