1 K 35 total 75 @fx B G D E F G H ng answer Qs, look for marks in bold for each 11 You are working with a manufacturer under Boardz Co. This company creates Board game tables from scratch. They had the following forecasted/budgeted for the full 2020 year: Sales in dollars) 750,000 Selling price per unit $ 750 lumber pieces used per set Cost for one unit of lumbers 2.5 DLH per unit, $25 per 1.0 At the end on 2020, they knew the following: Sales in dollars 625,000 Selling price per units 500 lumber pieces used (total) 5,000 Cost for one unit of lumber $ 2 DL$ paid total, $24 per hour 100,000 Formulas Price Var. = - (Actual price - budgeted price)*Actual o Efficiency Var. = (Actual Quantity used - flex Budgeted Quantity) * Budgeted Price Flexible budget variance = price + efficiency Flexible budget variance also = actual total - flex budget total d) Boardz has no idea what to make of the differences between flexible budgeted and actual. What are the two main variances, and can you quantify? Are they Favorable? Unfavorable? Why? 10 Marks (2) (3) #REFI Actual (1) static Revenue #REFI variance: Variance Flex budget variance 17 18