Ceramics Etc. is a manufacturer of large flower pots for urban settings. The company has these standards !! (Click the icon to view the standards.) Click the icon to view the actual results.) Requirements 1. Compute the direct material price variance and the direct material quantity variance 2. Who is generally responsible for each variance? 3. Interpret the variances Requirement 1. Compute the direct material price variance and the direct material quantity variance. (Enter the variances as positive numbers. Enter currency amounts in the formula to the nearest cent and then found the final variance amount to the nearest whole dollar Label the variance as favorable (F) or unfavorable (U). Abbreviations used: OM = Direct materials) First determine the formula for the price variance, then compute the price variance for direct materials x ) DM price variance Determine the formula for the quantity variance, then compute the quantity variance for direct material ) = DM quantity variance Requirement 2. Who is generally responsible for each variance? The department is responsible for the materials price variance. The department is responsible for the materials quantity variance Requirement 3. Interpret the variances materials price variance means that the actual price Grand Ceramics personnel paid for resin The materials quantity variance means that Grand Ceramics' employees used resin than they should have to produce 2.100 pots less more Ceramies Eteisa manufacturer of large flower pots for urban settings. The company has these standards Click the loon to view the standards.) B! (Click the icon to view the actual results.) Requirements 1. Compute the direct mat 2. Who is generally respond i Actual Results 3 Internet the variances Requirement 1. Computer nearest cent and then round Enterturnemouth .ormulato the Abused wirecta First determine the formula Determine the formula forth Ceramics Et located fored manufacturing overhead to production hauad on standard direct Iacor hours. Last month, the company reported the following actual results for the production of 2.100 fower pats Direct materials Purchased 26.320 pounds als cost of 53.30 per pound: used 25.020 pounds to produce 2.100 pots Direct labor Worked 5.4 hours par towerpot (11.340 to al DLH) at a cost of $20.00 per hour Actual variable manufacturing overhead 55 40 per direct labor hour for total actual variable manufacturing overhead of 301 230 Actual fred manufacturing overhead 381300 fed manufacturing overhead alabed based on actual production ..584,000 Requirement 2. Who in ga The departme Requirement 3. Interpret andard budgewers The material cu 2.100 pcs Print Done i Standards Direct material fren) 12 pounds per potata cost of $3.00 per pound 3.0 hours at a cost of 521.00 per hour Director Standard variable manufacturing overhead rate Budgeted fred manufacturing overhead Standard for MH rate .. $5.00 per directibor hour 582.000 38.00 per direct labor hour (DLH) Print Done * Ceramics Etc. is a manufacturer of large flower pots for urban settings. The company has these standards E!! (Click the icon to view the standards.) (Click the icon to view the actual results.) Requirements 1. Compute the direct material price variance and the direct material quantity variance 2. Who is generally responsible for each variance? 3. Interpret the variances Requirement 1. Compute the direct material price variance and the direct material quantity variance (Enter the variances as positive numbers. Enter currency amounts in the formula to the nearest cent and then round the final variance amount to the nearest whole dollar. Label the variance as favorable (F) or unfavorable (U). Abbreviations used: DM = Direct materials) First determine the formula for the price variance, then compute the price variance for direct materials OM price variance Determine the formula for the quantity variance, then compute the quantity variance for direct material. DM quantity variance ponsible for each variance? Marketing Requirement 2. Purchasing Production The sales Requirement 3. Interprerum Marketing Purchasing Production sales Insible for the materials price variance. The responsible for the materials quentity variance Did not exceed or exceeded the standard budgeted price for resin. The Favorable a unfavorable that the actual price Grand Ceramics' personnel paid for resin The materials quantity variance means that Grand Ceramics' employees used resin than they should have to produce 2.100 pots Favorable unfavorable