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ASSUME WHAT YOU DON'T HAVE Q. 3 Standard Costing (15 Marks) Usage ABC Corporation is into manufacturing business. For the year April 2019 to March

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ASSUME WHAT YOU DON'T HAVE

Q. 3 Standard Costing (15 Marks) Usage ABC Corporation is into manufacturing business. For the year April 2019 to March 2020, ABC corporation had budgeted to produce 12,000 units, but the actual production was 10,000 units only. The budgeted data for each unit of the product is given in the table below. Particulars Budgeted Actual Remarks Material 100 units @ Rs. 100/- units @ 90/- Material each each variance is unfavourable Labour 50 hours @ Rs. 50/- 52 hours Labour Rate variance each each is favourable Variable overheads 50 hours Rs. 307-52 hours @ Variable overhead each each expenditure variance is unfavourable @ 1. Fill in the data missing in the blanks for the actuals based on remarks given beside. (3 m) 2. Calculate all the raw material, labour and variable overhead variances. (9 m) 3. Based on the variances calculated above, identify which all departments/managers would be reprimanded and which all departments/managers would be commended for their performance. Explain it in detail. (3 m) Not : The formulae for the variances have been given at the end. The same needs to be mentioned in the answer and all the detailed workings (step wise) needs to be shown while arriving at the variances

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