Dulce Dulce manufactures kale salads. For January 2018, it budgeted to purchase and use 15,750 kilograms of kale at $1.05 per kilogram; budgeted autput was 59,063 salads. Actual purchases and use for January 2018 were 18,250 kilograms at $0.90 per kilogram; actual output was 56,875 salads. Required 1. Calculate the flexible-budget variance 2. Calculate the price and efficiency variances. 3. Comment on the results in requirements 1 and 2. Requirement 1. Compute the nexble-budget variance. Let's begin by determining the formu a used to calculate the actual kale costs, and then enter the amounts in the formula and calculate the cost. {Round your answer to the nearest whole dollar.) Actual kale casts * Now determine the formula and calculate the kale costs that will be found in the static budget column of your analysis, (Round your answer to the nearest whole dollar) Stalic budget kale costs Determine the formula and cakculate the kale costs for the flexible budget. (Round interim answers to two decimals. Round your final answer to the nearest whale callar.) Flexible budget kale costs favourable [For unfavourable (Ul.) Actual Now enter the amounts above into the analysis and determine the flexible-budget variance. (Label each variance Flexible-Budget Flexible Sales Volume Static Variance Budget Variance Budget Kale costs II Results Requirement 2. Compute the price and efficiency variances Begin by completing the following table. (Round your answer to the nearest whole coller) Actual Input Qty Actual Flexible Ruid Rund Rate Dulce Dulce manufactures kale salede. For January 2018, it budgeted to purchase and use 15,750 kilograms of kale at $1.05 per kilogram; budgeted output W88 59,063 slads. Actual purchases and use for January 2018 were 16.250 kilograms at $0.80 per kilogram; actual output was 56,875 salade. Required 1. Calculate the flexible-budget variance. 2. Calculate the price and efficiency variances 3. Comment on the results in requirements 1 and 2. Flexible budget kale costs Now enter the amounts above into the analysis and determine the flexible-budget variance. (Label each variance as favourable For unfavourable [U].) Actual Flexible-Budget Flexible Budget Sales Volume Variance Static Budget Results Variance Kale coste Requirement 2. Compute the price and efficiency variances. Begin by completing the following table. (Round your answer to the nearest whole dollar.) Actual Input Qty Actual Flexible Costs Budgeted Rate Budget The price variance is $ Label each variance as favourable [F] or unfavourable U.) The efficiency variance is $ (Label each variance as favourable [F] or unfavourable [U].) Requirement 3. Comment on the above results The V the budgeted purchasest per kilogram. The V efficiency variance reflects the actual materials yield being the budgeted yield. The company used price variance reflects the actual purchase cost being V kale (materials) to make the salads than was budgeted
