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Hello, Please I need a correct answer with explanations. Lake Cellars produces and sells white wine. The following data concern the three varietals of white
Hello, Please I need a correct answer with explanations.
Lake Cellars produces and sells white wine. The following data concern the three varietals of white wine the company currently offers. Sales data for August are given as follows. Total Sauvignon Blanc $ 8.95 $ 6.00 20,700 $ 9.10 $ 5.80 22,200 Budgeted selling price Budgeted variable cost Budgeted selling quantity Actual selling price Actual variable cost Actual selling quantity Chardonnay $ 9.90 $ 7.45 7,700 $ 7.90 $ 7.65 7,900 Riesling $ 6.90 $ 4.90 11,700 $ 7.10 $ 4.85 11,500 40,100 41,600 Required: a. Compute the sales price variance for all three wines. b. Compute the activity variance for Lake Cellars for August. c. Compute the mix and quantity variances for Lake Cellars for August. Complete this question by entering your answers in the tabs below. Reg A Req B and C Reg A Req B and C Compute the sales price variance for all three wines. (Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.) Price Variance Variety Sauvignon Blanc Chardonnay Riesling Total variance ReqA Req B and C > Reg A Req B and C b. Compute the activity variance for Lake Cellars for August. c. Compute the mix and quantity variances for Lake Cellars for August. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. Enter your answers rounded to the nearest whole dollar.) Show less b. Activity variance c. Mix variance Quantity varianceStep by Step Solution
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