Problem 11.40 (Part Level Submission) Raging Sage Coffee is a franchise that sells cups of coffee from carts in shopping centres. A computerized standard costing system is provided as a part of the franchise package. A portion of the standard cost data follows: Price Quantity Coffee beans $6 per kg 0.04 kg per cup Clerks/brewers $10 per hour 0.05 hours per cup In its first month of operation, the Winnipeg franchise recorded the following data: Coffee sold 8,260 cups Coffee beans used 224 kg Coffee beans purchased 240 kg Cost of coffee beans purchased $1,800 Clerks'/brewers' total hours 600 hours Clerks/brewers' total wages $6,000 The company's policy is to record materials price variances at the time materials are purchased. (d) X] your answer is incorrect. Try again. How many cups of coffee did the franchise owners expect to sell this period? Compare this estimate to the number actually sold. Expect to sell 6000 cups X Difference between expected volume and actual volume 2660 cups