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1.00 points Bandar Industries Berhad of Malaysia manufactures sporting equipment

ID: 2513303 • Letter: 1

Question

1.00 points 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 2,812 kilograms of plastic. The plastic cost the company $18,559 According to the standand cost card, each helmet should require 0.70 klograms of plastic, ar cost of $7.00 per klogram. Required: 1. According to the standards, what cost for plastic should have been incumed to make 3,700 helmets? How much greater or less is this than the cost that was incurred? (Round Standard klograms of plastic per helmet to 2 decimal places) Number of helmets Standand kilograms of plastic per helmet Total standard klograms alowed Standard cost per klogram Total standard cost cost incurred andard cost Round your a to the newest whale dellarecate The effect of each vananse Ey selecting fo MacBook Air 20

Explanation / Answer

Answer-

According to the standards,cost for plastic to make 3700 helments

Per helment plastic used as per standard=0.70 kilogram

Cost of the plastic per kilogram=$7.00

Total plastic used for 3700 helment = 3700*0.70=2590 kilogram

Standard cost of 2590 kilogram plastic =2590*$7.00=$18130

Actual cost incurred on 3700 helments =$18559

Actual cost is more than the standard cost. Amont of excess cost=$18559-$18130=$429

2) Information is not clear so i am not able to do this point

Number of helments 3700 Standard kilogram plastic per helment 0.70 Total Standard kilogram plastic allowed 2590 Standard cost per kilogram $7.00 Total standard cost $18130 Actual cost incured $18559 Total Varience ( Actal cost - standard cost)unfavourable $429