BrambleLandscaping plants grass seed as the basic landscaping for business campuses. During a recent month, the company worked on three projects (Remington, Chang, and Wyco). The company is interested in controlling the materials costs, namely the grass seed, for these plantings projects.

In order to provide management with useful cost control information, the company uses standard costs and prepares monthly variance reports. Analysis reveals that the purchasing agent mistakenly purchased poor-quality seed for the Remington project. The Chang project, however, received higher-than-standard-quality seed that was on sale. The Wyco project received standard-quality seed. However, the price had increased and a new employee was used to spread the seed.

Shown below are quantity and cost data for each project.

Actual

Standard

ProjectQuantityCostsQuantityCostsTotal VarianceRemington540lbs.$1,296450lbs.$1,125$171UChang4009204101,025105FWyco6501,6905401,350340UTotal variance$406U

Prepare a variance report for the purchasing department.(Round actual and standard price per pound answers to 2 decimal places e.g. 1.25.)

BRAMBLELANDSCAPING

Variance Report - Purchasing Department

For the Current Month

Project

Actual

Pounds Purchased

Actual

Price Per Pound

Standard

Price Per Pound

Price Variance

Explanation

Remington

$

$

$

Neither favorable nor unfavorable

Unfavorable

Favorable

Purchased poor-quality seedsChang

Neither favorable nor unfavorable

Unfavorable

Favorable

Seeds on saleWyco

Neither favorable nor unfavorable

Favorable

Unfavorable

Price increasedTotal price variance$

Neither favorable nor unfavorable

Unfavorable

Favorable

eTextbook and Media

Prepare a variance report for the production department.(Round standard price per pound to 2 decimal places, e.g. 1.25.)

BRAMBLELANDSCAPING

Variance Report - Production Department

For the Current Month

Project

Actual Pounds

Standard Pounds

Standard

Price Per Pound

Quantity Variance

Explanation

Remington

$

$

Favorable

Unfavorable

Neither favorable nor unfavorable

Purchased poor-quality seedsChang

Neither favorable nor unfavorable

Favorable

Unfavorable

Purchased higher-quality seedsWyco

Unfavorable

Favorable

Neither favorable nor unfavorable

New employeeTotal quantity variance$

Unfavorable

Neither favorable nor unfavorable

Favorable

eTextbook and Media