Picard Landscaping plants grass seed as the basic landscaping for business campuses. During a recent month, the company worked on three projects (Remington, Chang, and Wyco). The company is interested in controlling the materials costs, namely the grass seed, for these plantings projects.

In order to provide management with useful cost control information, the company uses standard costs and prepares monthly variance reports. Analysis reveals that the purchasing agent mistakenly purchased poor-quality seed for the Remington project. The Chang project, however, received higher-than-standard-quality seed that was on sale. The Wyco project received standard-quality seed. However, the price had increased and a new employee was used to spread the seed.

Shown below are quantity and cost data for each project.

Actual

Standard

ProjectQuantityCostsQuantityCostsTotal VarianceRemington520lbs.$1,248430lbs.$1,118$130UChang4009204101,066146FWyco5901,5935201,352241UTotal variance$225U

(a)

variance report for the purchasing department.(Round actual and standard price per pound answers to 2 decimal places e.g. 1.25.)

PICARD LANDSCAPING

Variance Report - Purchasing Department

For the Current Month

Project

Actual

Pounds

Purchased

Actual

Price Per

Pound

Standard

Price Per

Pound

Price

Variance

Remington

$

$

$

Unfavorable

Neither favorable nor unfavorable

Favorable

Chang

Favorable

Neither favorable nor unfavorable

Unfavorable

Wyco

Neither favorable nor unfavorable

Unfavorable

Favorable

Total price variance$

Favorable

Neither favorable nor unfavorable

Unfavorable

(b)

variance report for the production department.(Round standard price per pound to 2 decimal places, e.g. 1.25.)

PICARD LANDSCAPING

Variance Report - Production Department

For the Current Month

Project

Actual

Pounds

Standard

Pounds

Standard

Price Per

Pound

Quantity

Variance

Remington

$

$

Favorable

Neither favorable nor unfavorable

Unfavorable

Chang

Neither favorable nor unfavorable

Unfavorable

Favorable

Wyco

Unfavorable

Neither favorable nor unfavorable

Favorable

Total quantity variance$