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How much is the total price variance? How much is the total quantity variance? How much is the standard cost of each rolls? How much
How much is the total price variance? How much is the total quantity variance? How much is the standard cost of each rolls? How much is the actual cost of Bonn Room? Which building do you think has the most favorable actual costs per roll?
Soire Wallpaper Service specializes in painting tall office buildings. During a recent month, the company worked on three painting projects (the Chat Room, the Bonn Room and the Chassieur Room). The company is interested in controlling the materials costs, namely the wallpaper, used for these wallpaper contracts. In order to provide management with useful cost control information, the company uses standard costs and prepares monthly variance reports. Shown below are quantity and cost data for each project. Actual Standard Total Project Quantity Costs Quantity Costs Variance Chat Room 3,400 rolls $272,000 3,600 rolls $295,200 $ 23,200 F Bonn Room 3,700 $299,700 3,800 $311,600 11,900 F Chassieur Room 4,200 $348,600 4,000 $328,000 20,600 U Total variance $14,500 FStep by Step Solution
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