Donald Landscaping 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 the higher-than-standard-quality seed that was on sale. The Wyco project received a 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
Project		Quantity			Costs		Quantity			Costs		Total Variance
Remington		520	lbs.		$1,248		410	lbs.		$1,025		$223	U
Chang		400			920		410			1,025		105	F
Wyco		580			1,508		470			1,175		333	U
Total variance												$451	U

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

DONALD LANDSCAPING Variance Report Purchasing Department For the Current Month
Project		Actual Pounds Purchased		Actual Price Per Pound		Standard Price Per Pound		Price Variance				Explanation
Remington		enter actual pounds purchased		$enter Actual Price Per Pound in dollars rounded to 2 decimal places		$enter Standard Price Per Pound in dollars rounded to 2 decimal places		$enter price variance in dollars		select an option Neither favorable nor unfavorableFavorableUnfavorable		select an explanation New EmployeePurchased Higher-quality SeedsSeeds on SalePrice/lb. IncreasedPurchased Poor-quality Seeds
Chang		enter actual pounds purchased		enter Actual Price Per Pound in dollars rounded to 2 decimal places		enter Standard Price Per Pound in dollars rounded to 2 decimal places		enter price variance in dollars		select an option FavorableUnfavorableNeither favorable nor unfavorable		select an explanation New EmployeePrice/lb. IncreasedSeeds on SalePurchased Poor-quality SeedsPurchased Higher-quality Seeds
Wyco		enter actual pounds purchased		enter Actual Price Per Pound in dollars rounded to 2 decimal places		enter Standard Price Per Pound in dollars rounded to 2 decimal places		enter price variance in dollars		select an option FavorableUnfavorableNeither favorable nor unfavorable		select an explanation Purchased Poor-quality SeedsNew EmployeePrice/lb. IncreasedPurchased Higher-quality SeedsSeeds on Sale
Total price variance								$enter a total amount		select an option UnfavorableNeither favorable nor unfavorableFavorable

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

DONALD LANDSCAPING Variance Report Production Department For the Current Month
Project		Actual Pounds		Standard Pounds		Standard Price Per Pound		Quantity Variance				Explanation
Remington		enter actual pounds		enter standard pounds		$enter Standard Price Per Pound in dollars rounded to 2 decimal places		$enter Quantity variance in dollars		select an option UnfavorableNeither favorable nor unfavorableFavorable		select an explanation Price/lb. IncreasedNew EmployeePurchased Poor-quality SeedsSeeds on SalePurchased Higher-quality Seeds
Chang		enter actual pounds		enter standard pounds		enter Standard Price Per Pound in dollars rounded to 2 decimal places		enter Quantity variance in dollars		select an option FavorableNeither favorable nor unfavorableUnfavorable		select an explanation Seeds on SalePurchased Poor-quality SeedsPurchased Higher-quality SeedsNew EmployeePrice/lb. Increased
Wyco		enter actual pounds		enter standard pounds		enter Standard Price Per Pound in dollars rounded to 2 decimal places		enter Quantity variance in dollars		select an option Neither favorable nor unfavorableFavorableUnfavorable		select an explanation Purchased Poor-quality SeedsNew EmployeePrice/lb. IncreasedPurchased Higher-quality SeedsSeeds on Sale
Total quantity variance								$enter a total amount		select an option FavorableNeither favorable nor unfavorableUnfavorable