Management Accounting

Aption Lid produces a variety of products for the Irish and European markets. The following budgeted and actual information relates to one of its most popular products. Budgeted information for the month of March: Production and sales in units 50,000 E Direct materials 500,000 kgs Direct labour 1,450,000 175,000 hours 4,357,500 Variable production overheads 1,085,000 Fixed production overheads 310,000 Actual information for the month of March: Actual production and sales in units 54,000 E Direct materials 526,500kgs Direct labour 1,579,500 194,400 hours 4,762,800 Variable production overheads 1,224,720 Fixed production overheads 340,000 Notes: 1. Variable production overheads are applied to products based on budgeted labour hours. 2. The budgeted selling price for March was 6200 and the actual selling price was (190. When entering the variances use For A at the end of your answer to indicate a favourable or adverse variance e.g 1000 Favourable = 1000F or 1000 Adverse = 1000A DO NOT PUT a space between the number and the For AA. Calculate the standard cost for one unit of product to two decimal places. (4 marks) A B. Calculated the flexed budget sales revenue. (1 mark) C. Calculated the flexed budget cost of sales. (2 marks) A/ D. Calculated the flexed budget gross profit. (2 mark) A/ E. Calculated the budgeted gross profit. (2 mark) A/ F. Calculated the actual gross profit. (1 mark) A/ G. Calculate the materials price variance. (2 marks) A/ H. Calculate the materials quantity variance. (2 mark) I. Calculate the labour rate variance. (2 mark) A/ J. Calculate the labour efficiency variance. (2 mark) A/K. Calculate the variable overhead spending variance. (2 mark) A L. Calculate the variable overhead efficiency variance. (2 mark) A/ M.Calculate the fixed overhead expenditure variance. (2 mark) A/ N. Calculate the sales price variance. (2 mark) A/ O.Calculate the sales volume variance. Use contribution per unit to two decimal places in your calculations (2 mark) A/