a. & b. Materials price and efficiency variances and materials mix and yield variances. (Do not round intermediate calculations. Round "Standard mix values" to 3 decimal places. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. Enter your answers rounded to the nearest whole number.) Input Chemical Chem-A Chem-B Chem-C Total Mix Variance IF F U F Direct Material Yield Variance F F F Efficiency Variance F F Purchase Price Variance U U U
a. & b. Materials price and efficiency variances and materials mix and yield variances. (Do not round intermediate calculations. Round "Standard mix values" to 3 decimal places. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. Enter your answers rounded to the nearest whole number.) Input Chemical Chem-A Chem-B Chem-C Total Mix Variance IF F U F Direct Material Yield Variance F F F Efficiency Variance F F Purchase Price Variance U U U
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Please do not give solution in image format ?
Transcribed Image Text:a. & b. Materials price and efficiency variances and materials mix and yield variances. (Do not round intermediate calculations. Round
"Standard mix values" to 3 decimal places. Indicate the effect of each variance by selecting "F" for favorable, or "U" for
unfavorable. If there is no effect, do not select either option. Enter your answers rounded to the nearest whole number.)
Input Chemical
Chem-A
Chem-B
Chem-C
Total
Mix Variance
F
F
U
F
Direct Material
Yield Variance
IF
F
F
Efficiency Variance
F
F
(F
F
Purchase Price Variance
F
U
U
U
![Plano Products manufactures a wide variety of chemical compounds and liquids for industrial uses. The standard mix for producing a
single batch of 100 liters of its biggest selling product is as follows.
Input
Chemical
Chem-A
Chem-B
Chem-C
Quantity
(in liters)
34
74
17
125
Input
Chemical
Chem-A
Chem-B
Chem-C
There is a standard 20 percent loss in liquid volume during processing due to evaporation. The finished liquid is put into 24-liter
containers for sale. Thus, the standard material cost for a 24-liter container is $812.64 [= ($3,386 ÷ 100 liters) × 24 liters per container].
Cost
(per
liter)
$37
26
12
The actual quantities of direct materials and the cost of the materials placed in production during September were as follows (materials
are purchased and used at the same time).
Quantity
(in
liters)
25,360
43,400
30,040
98,800
Total
Cost
$1,258
1,924
204
$3,386
Total Cost
$ 779,248
1,227,320
1,318, 220
$3,324,788
A total of 9,400 containers (225,600 liters) were produced during September.
Required:
Calculate the total direct material variance for the liquid product for the month of September and then further analyze the total
variance into:
a. & b. Materials price and efficiency variances and materials mix and yield variances. (Do not round intermediate calculations. Round
"Standard mix values" to 3 decimal places. Indicate the effect of each variance by selecting "F" for favorable, or "U" for
unfavorable. If there is no effect, do not select either option. Enter your answers rounded to the nearest whole number.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd9bfa58d-3c16-4d1d-b8d2-18caa5ff0570%2Fc9234e1f-a621-4096-80d5-f0ca5bd77e11%2Fl59421y_processed.png&w=3840&q=75)
Transcribed Image Text:Plano Products manufactures a wide variety of chemical compounds and liquids for industrial uses. The standard mix for producing a
single batch of 100 liters of its biggest selling product is as follows.
Input
Chemical
Chem-A
Chem-B
Chem-C
Quantity
(in liters)
34
74
17
125
Input
Chemical
Chem-A
Chem-B
Chem-C
There is a standard 20 percent loss in liquid volume during processing due to evaporation. The finished liquid is put into 24-liter
containers for sale. Thus, the standard material cost for a 24-liter container is $812.64 [= ($3,386 ÷ 100 liters) × 24 liters per container].
Cost
(per
liter)
$37
26
12
The actual quantities of direct materials and the cost of the materials placed in production during September were as follows (materials
are purchased and used at the same time).
Quantity
(in
liters)
25,360
43,400
30,040
98,800
Total
Cost
$1,258
1,924
204
$3,386
Total Cost
$ 779,248
1,227,320
1,318, 220
$3,324,788
A total of 9,400 containers (225,600 liters) were produced during September.
Required:
Calculate the total direct material variance for the liquid product for the month of September and then further analyze the total
variance into:
a. & b. Materials price and efficiency variances and materials mix and yield variances. (Do not round intermediate calculations. Round
"Standard mix values" to 3 decimal places. Indicate the effect of each variance by selecting "F" for favorable, or "U" for
unfavorable. If there is no effect, do not select either option. Enter your answers rounded to the nearest whole number.)
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