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We are analyzing 2 products - product Hamburgers(HB)and Double Deckers(DD) Product HB requires 1 Patty (P) and 2 Buns (B) Product Y requires 2 Patties
- We are analyzing 2 products - product Hamburgers(HB)and Double Deckers(DD)
- Product HB requires 1 Patty (P) and 2 Buns (B)
- Product Y requires 2 Patties (P) and 3 Buns B)
- The standard cost for P is $1 per unit.
- The standard cost for B is $0.50 per unit.
- During this month, the company purchased 5,000 Ps for $4,950 (there was no beginning balance).
- During this month, the company purchased 5,000 units of Bs for $2,600. (there was no beginning balance).
- During the month the company produced 500 HBs and 1000 DDs.
- During the month the company used 2520 units of Psand 3975 units of Bs.
- Payroll was $315, with 16 hours (this is actual - direct labor only).
- Each burger requires 1/100 of an hour for Direct Labor
- Labor standard cost is $20 per hour.
hint: for production of both X and Y
Questions 1-27: Suggestion:Use a scratch paper to solve all the variances first, then answer the questions.
- Buns - Price Variance
- Buns - Use (Quantity) variance
- Buns -Direct Material Total Variance
- Buns- Flex budget
- Buns -Direct Material total variance (Favorable or unfavorable)
- Buns - Standard Cost (total)
- Buns - Actual Cost (total)
- Buns - use variance (fav or unfav)
- Buns - Price variance (Fav or unfav)
- Patties - Flex budget
- Patties - Standard cost (total)
- Patties - Direct Material total variance (fav or unfav)
- Patties - Direct Material total variance
- Patties - Price variance
- Patties - Use (Q) variance (fav or unfav)
- Patties - Use (Quantity) variance
- Patties - Price variance (fav or unfav)
- Patties - Actual cost (total)
- Rate Labor Price Variance (fave or unfav)
- DL - Efficiency Labor quantity variance (fav or unfav)
- DL - Total variance
- DL - total variance(fav or unfav)
- DL - Standard cost (total)
- DL - Efficiency variance (LQ)
- DL - Actual Cost (total)
- Rate variance (Labor Price)
- DL - Flex budget
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