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Storage Solutions is the market leader in the Secure Digital (SD) card industry and sells memory cards for use in portable devices such as mobile phones, tablets, and digital cameras. Its most popular card is the Mini SD, which it sells through outlets such as Target and Walmart for an average selling price of $11. MicroDisk has a standard monthly production level of 415,000 Mini SDs in its Taiwan facility. The standard input quantities and prices for direct-cost inputs are as follows: (Click the icon to view the standards.) (Click the icon to view additional information.) Required Requirement 1. Calculate the selling price variance. (Enter applicable values to the nearest cent. Label each variance as favourable (F) or unfavourable (U). For variances with a $0 balance, make sure to enter "0" in the appropriate field. If the variance is zero, do not select a label.) Selling price variance ) x ) x Required Calculate the following variances. Comment on the variances and provide potential reasons why they might have arisen, with particular attention to the variances that may be related to one another: 1. Selling-price variance 2. Direct materials price variance, for each category of materials 3. Direct materials efficiency variance, for each category of materials 4. Direct manufacturing labour price variance, for setup and fabrication 5. Direct manufacturing labour efficiency variance, for setup and fabrication Print Done More info has Target and Walmart for an Storage Solutions is the market leader in the Secure Digital (SD card industry and sells memory cards for use in portable del average selling price of $11. MicroDisk has a standard monthly production level of 415,000 Mini SDs in its Taiwan facility. The Click the icon to view the standards. (Click the icon to view additional information.) ) ( Red - X Data table Red szero, do not select a label. Quantity per Mini SD card Standard Unit Costs le estav ng price Cost Item co fiance ill $ Direct materials: Specially polymer Connector pins W transreceiver 19 mm 8 units 003/ 0.11 /unt Peg Kingsly, the CEO, is disappointed with the results for June, especially in comparison to her expectations based on the standard cost data Performance Report, June Actual Budget Variance Oulpul units 460,000 415,000 45,000 F Revenues $ 4.968,000 5 4.565,000 S 403,000 F Direct materials 1,186,800 275,660 290,150 U Direct manufacturing labour 1.976,433 1.909,000 67,433 V Kingsly observes that despite the significant increase in the output of Mini SDs in June, the product's Corintior ta the company's profitability has been lower than expected. She gathers the fallixing information to help analyze the situation: Input Usage Report, June Cost Item Quantity Actual Costs Direct materials Specialty polymer 8,995,000 mm $ 269,850 Connector pins 1,566,000 unite $ 639,100 Wi-Fi transceiver 467,000 units $ 258,650 $ 1 unit $ 0.55/unt Direclinanufacturing labour: Setup Fabrication $ 3 min 4 min 38/hr 42/hr $ ) Print Done Direct manufacturing labour Setup Fabrication $ 1,285,000 min 1.682,000 min 771,000 1,205,438 3 Print Done Help me solve this Etext pages Get more help Clear all Check
