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budgeted quantities and budgeted prices of direct materials: actual quantity, cost, and mix of inputs: Requirements 1, 2, and 3 need an answer Treasure Snacks
budgeted quantities and budgeted prices of direct materials:
actual quantity, cost, and mix of inputs:
Requirements 1, 2, and 3 need an answer
Treasure Snacks produces snack mixes for the gourmet and natural foods market. (Click the icon to view the budgeted quantities and budgeted prices of direct materials.) * Data Table Its most popular product is Tempting Trail Mix, a mixture of peanuts, dried cranberries, and chocolate pieces. For each batch, the budgeted quantities and budgeted prices are as follows: Price per Cup Quantity per Batch 80 cups Peanuts $ Dried Cranberries 30 cups $ 3 Chocolate pieces 10 cups 2 In the current period, Treasure Snacks made 110 batches of Tempting Trail Mix with the following actual quantity, cost, and mix of inputs: Click the icon to view the actual quantity, cost, and mix of inputs.) Data Table X Small changes to the standard mix of direct material quantities do not significantly affect the overall end product. In addition, not all ingredients added to production end up in the finished product, as some are rejected during inspection. Actual Quantity Actual Cost Actual Mix 7.440 cups $ 8,547 82% Peanuts Dried Cranberries 2.880 cups 1.800 cups 9,245 3,456 24% 15% Chocolate pieces 12.000 cups $ 19,248 100% Total actual Requirement 1. What is the budgeted cost of direct materials for the 110 batches? Begin by calculating the total budgeted number of cups and the budgeted cost of direct materials for one batch. Quantity for Total Cost for Price of Input One Batch s 1 One Batch Peanuts 80 cups per cup Dried Cranberries 30 cups s 3 per cup Chocolate pieces 10 cups $ 2 per cup Total cups Requirement 2. Calculate the total direct materials efficiency variance. Select the formula and enter the amounts to calculate the total direct materials efficiency variance. Identify each variance as either factorable (F) or unfavorable (U). (Enter any quantity amounts as the number of cups. Act. - Actual, Budg. = F. , . Budgeted, Cran. Cranberries, Effic. = Efficiency, Qty. = Quantity, Var. = Variance.) Effic, var Peanuts Cran. Chocolate Total Requirement 3. Calculate the total direct materials mix and yield variances. Begin by selecting the formula and entering the amounts to calculate the total direct materials mix variance. Identify each variance as either factorable (F) or unfavorable (U). (Enter any percentages in decimal format to two decimal places, O.XX. Abbreviations used: A$ of DM input = Actual price of direct materials input, ADM mix % = Actual direct materials input mix percentage, ATQ inputs used= Actual total quantity of all direct materials inputs used, B$ of DM input = Budgeted price of direct materials input, BDM mix % = Budgeted direct materials input mix percentage, BTQ inputs allowed = Budgeted total quantity of all direct materials inputs allowed for actual output, Mix var. = Direct materials mix variance for each input.) - Mix var. Peanuts Cran. Chocolate ) Total = Next, select the formula and enter the amounts to calculate the total direct materials yield variance. Identify each variance as either factorable (F) or unfavorable (U). (Enter any percentages in decimal format to two decimal places, O.XX. Abbreviations used: As of DM input - Actual price of direct materials input, ADM mix %-Actual direct materials input mix percentage, ATQ inputs used-Actual total quantity of all direct materials inputs used, B$ of DM input - Budgeted price of direct materials input, BDM mix % = Budgeted direct materials input mix percentage, BTQ inputs allowed - Budgeted total quantity of all direct materials inputs allowed for actual output, Yield var. - Direct materials mix variance for each input.) ) = Yield var Peanuts Cran. = x Chocolate ) = TotalStep by Step Solution
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