As shown in #$7,$ Julie budgeted that she would spend $$2\mathrm{.}40$ for a carton of $12$ eggs and that each

cake would require $6$ eggs and we produced $60$ cakes. She also budgeted that she would pay her

bakers $$\frac{20}{h}r$ and that each cake would take $6$ hours to complete. If things do not go how Julie

plans, she needs to be able to figure out why.

If Julie ends up paying $$3\mathrm{.}00$ for a carton of $12$eggs and uses $7$ eggs in each cake, what would be

the direct materials variances?

If Julie ends up paying her bakers $$\frac{18}{?}$ hr$,$ but each cake requires $8$ hours to make, what would be

the direct labor variance?

Assuming there are no other variances, what was the budgeted cost for a cake in terms of eggs

and baker wages and how does the actual cost compare?Requirment $8$:

Use the data provided to calculate the total flexible budget variance.

Flexible Budget Vs$.$ Actual Results

Flexible Budget $($Standard Cost x Standard Quantity

Actual Results $($Actual Cost x Actual Quantity$)$

Total Flexible Budget Variance

$*$should equal DM variance $+$ DL variance to check your answer