ASSIGNMENT ON ACC 415 - MANAGEMENT ACCOUNTING1 FOR PART TIME

       PATRIOT ODUNARO BABATUNDE JIMOH (08038454008)

                               "IN ALL YOUR GETTING GET WISDOM".

 

NEW MONTH GREETINGS TO YOU ALL. 

YOU MUST SING A NEW SONG ALLAHUMO KUNFAYAKUN AMIN!

For Brain Development visit:
https://britstutors.blogspot.com/search?q=brain

 

REVIEW QUESTIONS, CLICK

https://britstutors.blogspot.com/2019/02/acc-415-management-accounting-1.html

 

ASSIGNMENT

Foyegbe Nigeria Limited produces and sells Red Soft Drinks. The standard direct cost per crate is as follows:

Material:

100 litres of concentrated juice at N2.00 per litre.

200 litres of carbonated water at N2.50 per litre

10 labour hours at N9.00 per hour.

The budgeted monthly production and sales is 500 crates and the selling price is N1,000 per crate.

The following details relate to October 2017, when 510 crates of Red Soft Drinks were produced and sold:

                                                                                    N

Sales                                                                            506,500

Materials used:

Concentrated juice- 51,600 litres                                102,500

Carbonated water- 101,500 litres                               258,800

Labour:

5,000 hours cost                                                             45,750

Required:

(a)    Compute the price and usage variance for each material.

(b)    Calculate the wage rate and efficiency variances.

(c)    Comment briefly upon the information revealed by each of the variances you have computed.

BEST OF LUCK!