Flexible Budgeting and Variance Analysis I Love My Chocolate Company makes dark chocolate and light chocolate. Both products require cocoa and sugar. The following planning information has been made available: Standard Amount per Case Dark Chocolate Light Chocolate Standard Price per Pound Cocoa Sugar 12 lbs. 9 lbs. 10 lbs. 14 lbs. $4.50 0.60 Standard labor time 0.4 hr. 0.5 hr. Planned production Standard labor rate Dark Chocolate Light Chocolate 5,800 cases $13.50 per hr. 10,500 cases $13.50 per hr. I Love My Chocolate Company does not expect there to be any beginning or ending inventories of cocoa or sugar. At the end of the budget year, I Love My Chocolate Company had the following actual results: Dark Chocolate Actual production (cases) Light Chocolate 5,500 10,900 Actual Price per Pound Actual Pounds Purchased and Used Cocoa Sugar $4.60 164,900 0.55 202,400 Actual Labor Rate Actual Labor Hours Used Dark chocolate $13.10 per hr. 2,000 Light chocolate 13.90 per hr. 5,590