equired: . Prepare the following variance analyses for both chocolates and the total, based on the actual results and production levels at the en a. Direct materials price variance, direct materials quantity variance, and total variance. b. Direct labor rate variance, direct labor time variance, and total variance. nter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. .. Direct materials price variance Unfavorable Direct materials quantity variance Unfavorable Total direct materials cost variance Unfavorable v
equired: . Prepare the following variance analyses for both chocolates and the total, based on the actual results and production levels at the en a. Direct materials price variance, direct materials quantity variance, and total variance. b. Direct labor rate variance, direct labor time variance, and total variance. nter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. .. Direct materials price variance Unfavorable Direct materials quantity variance Unfavorable Total direct materials cost variance Unfavorable v
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Performance Eval Variances: Refer to the pictures. One has the information and the second has the template. Thank you!

Transcribed Image Text:Required:
1. Prepare the following variance analyses for both chocolates and the total, based on the actual results and production levels at the end of the budget year:
a. Direct materials price variance, direct materials quantity variance, and total variance.
b. Direct labor rate variance, direct labor time variance, and total variance.
Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
а.
Direct materials price variance
Unfavorable
Direct materials quantity variance
Unfavorable
Total direct materials cost variance
Unfavorable
b.
Direct labor rate variance
Unfavorable
Direct labor time variance
Favorable
Total direct labor cost variance
Unfavorable
00

Transcribed Image Text:Flexible Budgeting and Variance Analysis
I Love My Chocolate Company makes dark chocolate and light chocolate. Both products require cocoa and sugar. The following planning information has been made available:
Standard Amount per Case
Dark Chocolate
Light Chocolate
Standard Price per Pound
Сосоа
9 Ibs.
6 Ibs.
$4.70
Sugar
7 Ibs.
11 Ibs.
0.60
Standard labor time
0.4 hr.
0.5 hr.
Dark Chocolate
Light Chocolate
Planned production
4,300 cases
10,600 cases
Standard labor rate
$13.00 per hr.
$13.00 per hr.
I Love My Chocolate Company does not expect there to be any beginning or ending inventories of cocoa or sugar. At the end of the budget year, I Love My Chocolate Company had the following actual results:
Dark Chocolate
Light Chocolate
Actual production (cases)
4,100
11,000
Actual Price per Pound
Actual Pounds Purchased and Used
Сосоа
$4.80
103,400
Sugar
0.55
146,000
Actual Labor Rate
Actual Labor Hours Used
Dark chocolate
$12.50 per hr.
1,490
Light chocolate
13.50 per hr.
5,640
Required:
1. Prepare the following variance analyses for both chocolates and the total, based on the actual results and production levels at the end of the budget year:
a. Direct materials price variance, direct materials quantity variance, and total variance.
b. Direct labor rate variance, direct labor time variance, and total variance.
Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
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