Question 5

Broha Company manufactured 2,100 units of its only product during 2019. The inputs for this production are as follows:

510 pounds of Material A at a cost of $2.10 per pound

360 pounds of Material H at a cost of $3.35 per pound

540 direct labor hours at $44 per hour

The firm manufactured 2,976 units of the same product in 2018 with the following inputs:

620 pounds of Material A at a cost of $1.80 per pound

480 pounds of Material H at a cost of $3.10 per pound

520 direct labor hours at $42 per hour

The partial operational productivity of Material A in 2018 is: (Round all calculations to 2 significant digits.)

Multiple Choice

• 0.37 units per pound.

• 0.44 units per pound.

• 4.00 units per pound.

• 4.44 units per pound.

• 4.80 units per pound.

Nappon Co. has two products named X and Y. The firm had the following master budget for the year just completed:

	Product X				Product Y				Total
Sales	$	247,000			$	366,000			$	613,000
Variable Costs		148,000				146,400				294,400
Contribution Margin	$	99,000			$	219,600			$	318,600
Fixed costs		130,000				108,000				238,000
Operating Income (Loss)	$	(31,000	)		$	111,600			$	80,600
Selling Price per unit	$	100			$	50

The following actual operating results were reported after the year was over:

	Product X				Product Y				Total
Sales	$	365,200			$	545,200			$	910,400
Variable Costs		201,500				222,500				424,000
Contribution Margin	$	163,700			$	322,700			$	486,400
Fixed costs		212,800				114,500				327,300
Operating Income (Loss)	$	(49,100	)		$	208,200			$	159,100
Units Sold		3,130				9,650

The sales quantity variance for Product Y is: (Round your 'sales mix' percentage to nearest whole percent and other answers to 2 decimal places.)

Multiple Choice

• $6,000 favorable.

• $37,400 favorable.

• $38,900 favorable.

• $67,275 favorable.

• $77,800 unfavorable.