From the following particulars, find the (a) Material cost variance and (b) Material price variance. Quantity of material purchased 3,000 units Value of materials purchased Rs 9,000 Standard quantity of material required per tonne of finished product: 30 units Standard rate of material Rs 2 per unit Opening stock of material Nil Closing stock of material 500 units Finished production during the period 80 tonnes

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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From the following particulars,
find the (a) Material cost variance
and (b) Material price variance.
Quantity of material purchased
3,000 units Value of materials
purchased Rs 9,000 Standard
quantity of material required per
tonne of finished product: 30
units Standard rate of material Rs
2 per unit Opening stock of
material Nil Closing stock of
material 500 units Finished
production during the period 80
tonnes
Transcribed Image Text:From the following particulars, find the (a) Material cost variance and (b) Material price variance. Quantity of material purchased 3,000 units Value of materials purchased Rs 9,000 Standard quantity of material required per tonne of finished product: 30 units Standard rate of material Rs 2 per unit Opening stock of material Nil Closing stock of material 500 units Finished production during the period 80 tonnes
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