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You have been invited to interview for an internship with an international food manufacturing company. When you arrive for the interview, you are given the

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You have been invited to interview for an internship with an international food manufacturing company. When you arrive for the interview, you are given the following information related to a fictitious chocolatier for the month of June. (Click the icon to view the data.) Read the requirements. i Data Table - X Requirement 1. Calculate the materials efficiency and price variance and the wage and labor efficiency variances for the month of May. The chocolatier manufactures truffles in 12-piece boxes. The production is In order to calculate the variances complete the following table. (Round your final answer to the nearest whole number. Abbreviation used: qty = quantity.) labor intensive, and the delicate nature of the chocolate requires a high Actual costs Actual input qty x degree of skill. incurred Budgeted price Flexible budget Actual Direct materials Boxes produced 7,500 Direct labor Direct materials used in production 19,500 pounds (Ibs.) Now compute the variances. (Enter the amount of the variance, then select whether it is favorable or unfavorable.) Actual direct material cost $97,500 The materials efficiency variance is Actual direct manufacturing labor-hours 1,900 Actual direct manufacturing labor cost $39,900 The materials price variance is Standards The labor efficiency variance is Purchase price of direct materials $6.00 per pound The labor price variance is Materials per box 0.60 pounds Wage rate $24.60 per hour Requirement 2. Discuss some possible causes of the variances you have calculated. Can you make any possible connection between the material and labor Boxes per hour 6 The materials price and efficiency variances could be an indication that the company purchased expensive ingredients of quality, which resul suggests that experienced workers may have worked more, resuting in a |work pace and a than normal amount of rejects or waste. Print Done The company should determine the cause of the rejects. The cause could be Perhaps ? Choose from any list or enter any number in the input fields and then continue to the next

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