Rania Coklat Sdn Bhd makes dark chocolate and light chocolate. Both products require cocoa and sugar. The following planning information has been made available: 2. Cocoa Sugar Standard labor time Planned production Standard labor rate Actual production (cases) Cocoa Sugar Standard Amount per Case Dark chocolate Light chocolate Dark Chocolate Dark Chocolate 4,700 cases Light Chocolate 11,000 cases RM15.50 per hr. RM15.50 per hr. Rania Coklat Sdn Bhd does not expect there to be any beginning or ending inventories of cocoa or sugar. At the end of the budget year, Rania Coklat Sdn Bhd had the following actual results: 12 lbs. 10 lbs. 0.50 hr. Light Chocolate Standard Price per Pound RM7.25 1.40 8 lbs. 14 lbs. 0.60 hr. Dark Chocolate 5,000 Actual Price per Pound RM7.33 1.35 Actual Labor Rate RM15.25 per hr. 15.80 per hr. Light Chocolate 10,000 Actual Pounds Purchased and Used 140,300 188,000 Actual Labor Hours Used 2,360 6,120 Instructions 1. Prepare the following variance analyses for both chocolates and the total, based on the actual results and production levels at the end of the budget year: a. Direct materials price, quantity, and total variance. b. Direct labor rate, time, and total variance. Why are the standard amounts in part (1) based on the actual production for the year instead of the planned production for the year?

PR 10-2 Flexible budgeting and variance analysis OBJ, 1, 2, 3 Rania Coklat Sdn Bhd makes dark chocolate and light chocolate. Both products require cocoa and sugar. The following planning information has been made available: Rania Coklat Sdn Bhd does not expect there to be any beginning or ending inventories of cocoa or sugar. At the end of the budget year, Rania Coklat Sdn Bhd had the following actual results: Instruct 1. Prepare the following variance analyses for both chocolates and the total, based on the actual results and production levels at the end of the budget year: a. Direct materials price, quantity, and total variance. b. Direct labor rate, time, and total variance. (2. Why are the standard amounts in part (1) based on the actual production for the year instead of the planned production for the year