Q.

270
(a)
Material Mix Variance
AQSM 4.740740741
AQAM 4.772841465
-5826.666667 Adverse

In 1 formula -5826.666667 Adverse

Material Yield variance

Stand.mix avg. stand.price 4.740740741
9898.666667 Favourable

Chaff Co.
Operating Satement
Favourable Adverse
Budget contribution 470400
Sales volume -22400
Sales price -120000 [1]
Material price 60000 [2]
Material usage -48000 [3]
Labour rate -18960 [4]
Labour efficiency 20000 [5]
Idle time 15600 [6]
Variable overhead expenditure -30000 [7]
Variable overhead efficiency 30000 [8]
125600 -239360 -113760
Actual contribution 356640
Less; Fixed cost 200000
156640
[1] 1800000/8000=225

[2] 660000/12000=55

[3] 8000*1.4= 11200

[4] 303,360/15800=19.2

[5] 18/0.9=20

[6] 15800*0.1=1580
18/0.9=20

[7] 480000/15000=32

[8] 8000*2=16000