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The corporate office had budgeted Burger King Fry Station to sell 3,800 large fries during the week beginning April 25. Each serving was expected to

  • The corporate office had budgeted Burger King Fry Station to sell 3,800 large fries during the week beginning April 25. Each serving was expected to contain 6 ounces of potatoes. During the week of April 25, the shop actually sold 4,000 servings and used 25,000 ounces of potatoes. The standard cost of potatoes is $0.15 per ounce. The variance report from company headquarters showed an unfavorable materials usage variance of $150.
  • Required:
    1. Verify the accuracy of the variance calculation. If incorrect, provide the correct calculation.
    2. Provide three independent reasons for the materials usage variance discovered in Requirement 1.

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