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Please explain how they got the actual input qtx x Budget price Norwalk Enterprises manufactures insulated cold beverage cups printed with college and corporate logos
Please explain how they got the actual input qtx x Budget price
Norwalk Enterprises manufactures insulated cold beverage cups printed with college and corporate logos which it distributes nationally in lots of dozen cups. In June, Norwalk produced lots of its most popular line of cups, the ounce lidded tumbler, at each of its two plants, which are located in Platinum and Augusta. The production manager, Amelia Bourque, asks her assistant, Nick Fleming, to find out the precise perunit budgeted variable costs at the two plants and the variable costs of a competitor, Clement Farm, who offers similarquality tumblers at cheaper prices. Fleming pulls together the following information for each lot:
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tablePer lot,Platinum Plant,Augusta Plant,Clement FarmDirect materials,@$ per lb @ $ per lb @ $ per lbDirect manufacturing labour,@$ per hr@$ per hr@$ per hrVariable overhead,$ per lot,$ per lot,$ per lot
Calculate the variances for the Platinum plant first. Enter applicable values to the nearest whole dollar. Label each variance as favourable F or unfavourable U For variances with a $ balance, make sure to enter in the appropriate field. If the variance is zero, do not select a label.
Now, calculate the variances for Augusta plant. Enter applicable values to the nearest whole dollar. Label each variance as favourable F or unfavourable U For variances with a $ balance, make sure to enter in the appropriate field. If the variance is zero, do not select a label.
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