Chypre, Ic., produces a cologne mist using a solvent mix (water and pure alcohol) and aro- matic compounds (the scent base) that it sells to other companies for bottling and sale to con- sumers. Chypre developed the following standard cost sheet: Direct Material Mix Proportion SP Mix Standard Cost Solvent mix 760 gallons 0.95 5.27 S 4,005.20 Aromatic compounds Total 40 0.05 8,000.00 320,000.00 800 gallons 720 gallons S324,005.20 Yield On May 2, Chypre produced a batch of 1,000 gallons with the following actual results: Direct Material Actual Mix Solvent mix 945 gallons Aromatic compounds 55 1,000 gallons 880 gallons Total Yield Required: 1. Calculate the yield ratio. 2. Caleulate the standard cost per unit of the yield. (Round to the nearest cent.) 3. Calculate the direct materials yield variance. (Round to the nearest cent.) 4. Calculate the direct materials mix variance. (Round to the nearest cent.)

Chypre, Ic., produces a cologne mist using a solvent mix (water and pure alcohol) and aro- matic compounds (the scent base) that it sells to other companies for bottling and sale to con- sumers. Chypre developed the following standard cost sheet: Direct Material Mix Proportion SP Mix Standard Cost Solvent mix 760 gallons 0.95 5.27 S 4,005.20 Aromatic compounds Total 40 0.05 8,000.00 320,000.00 800 gallons 720 gallons S324,005.20 Yield On May 2, Chypre produced a batch of 1,000 gallons with the following actual results: Direct Material Actual Mix Solvent mix 945 gallons Aromatic compounds 55 1,000 gallons 880 gallons Total Yield Required: 1. Calculate the yield ratio. 2. Caleulate the standard cost per unit of the yield. (Round to the nearest cent.) 3. Calculate the direct materials yield variance. (Round to the nearest cent.) 4. Calculate the direct materials mix variance. (Round to the nearest cent.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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