Solution 1:
Standard quantity of Kilograms allowed = 3700 *0.59 = 2183 kilograms
Solution 2:
Standard cost allowed for actual output = (SQ*SP) = 2183 *$7 = $15,281
Solution 3:
Materials spending variance = Standard cost allowed - Actual Cost incurred = $15281 - 15873 = $592 unfavorable
Solution 4:
Actual Price of materials = $15873 / 2405 = $6.60 per kilogram
Materials price variance = (SP - AP)* AQ = ($7 - $6.60) * 2405 = $962 favorable
Materials quantity company = (SQ- AQ) * SP = (2183 - 2405) * $7 = $1554 Unfavorable
Exercise 10-1 Direct Materials Varlances [LO10-11 Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of...
Exercise 10-1 Direct Materials Variances (LO10-1] Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company's products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,900 helmets, using 2,808 kilograms of plastic. The plastic cost the company $18,533. According to the standard cost card, each helmet should require 0.63 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard...
Exercise 10-1 Direct Materials Variances [LO10-1] Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company’s products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 4,000 helmets, using 2,920 kilograms of plastic. The plastic cost the company $19,272. According to the standard cost card, each helmet should require 0.64 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard...
Exercise 10-1 Direct Materials Variances [LO10-1] Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company’s products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,900 helmets, using 2,301 kilograms of plastic. The plastic cost the company $15,187. According to the standard cost card, each helmet should require 0.54 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard...
Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company's EXERCISE 10-1 Direct Materials Variances L010-1 products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 35,000 helmets, using 22,500 kilograms on plastic. The plastic cost the company $171,000. According to the standard cost card, each helmet should require 0.6 kilograms of plastic, at a cost of $8 per kilogram. Required: 1. What is the standard...
Exercise 10-1 Direct Materials Variances [L010-1] Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company's products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,700 helmets using 2,405 kilograms of plastic. The plastic cost the company $15,873. According to the standard cost card, each helmet should require 0.56 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard...
Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company’s products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,800 helmets, using 2,546 kilograms of plastic. The plastic cost the company $16,804. According to the standard cost card, each helmet should require 0.59 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard quantity of kilograms of plastic (SQ)...
Exercise 9-4 Direct Materials Variances [LO9-4] Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company's products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,100 helmets, using 1,922 kilograms of plastic. The plastic cost the company $12,685. According to the standard cost card, each helmet should require 0.55 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard...
Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company's products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,700 helmets, using 2,368 kilograms of plastic. The plastic cost the company $17.997. According to the standard cost card, each helmet should require 0.55 kilograms of plastic, at a cost of $8.00 per kilogram. Required: 1. What is the standard quantity of kilograms of plastic (SQ)...
Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company's products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,600 helmets, using 2,340 kilograms of plastic. The plastic cost the company $15,444. According to the standard cost card, each helmet should require 0.57 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard quantity of kilograms of plastic (SQ)...
Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company’s products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,700 helmets, using 2,442 kilograms of plastic. The plastic cost the company $16,117. According to the standard cost card, each helmet should require 0.58 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard quantity of kilograms of plastic (SQ)...