Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the

Question

Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company's products, a football helmet fo North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,400 helmets, using 2,448 kilograms of plastic. The plastic cost the company $18,605 ording to the standard cost card, each helmet should require 0.65 kilograms of plastic, at a cost of $8.00 per kilogram. Required 1. What is the standard quantity of kilograms of plastic (SQ) that is allowed to make 3,400 helmets? 2. What is the standard materials cost allowed (SQ SP) to make 3,400 helmets? 3. What is the materials spending variance? 4. What is the materials price variance and the materials quantity variance? 4:50.18 (For requirements 3 and 4, indicate the effect of each variance by selecting "F'i for favorable, "U" for unfavoro no effect (i.e., zero variance). Input all amounts as positive values. Do not round intermediate calculations.) Hint Standard quantity of kilograms allowed Materials spending variance Materials quantity variance 2. Standard cost allowed for actual output 4 Materials price variance

Explanation / Answer

Calculate following :

2210 kg

1 Standard quantity of kilogram allowed (3400*.65)

2210 kg

2 Standard cost allowed (2210*8) 17680 3 Material spending variance (17680-18605) 925 U 4 Material price variancce (8*2448-18605) 979 F Material quantity variance (2210-2448)*8 1904 U

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.