EXERCISE 11-5B
(a)
Total materials variance:
( AQ
X
AP )
(27,000 X $3.75)
$101,250
–
–
(
SQ
X
SP )
(26,000* X $4.00)
$104,000
= $2,750 F
*13,000 X 2
Materials price variance:
(
AQ
X
AP )
(27,000 X $3.75)
$101,250
–
–
(
AQ
X
SP )
(27,000 X $4.00)
$108,000
= $6,750 F
Materials quantity variance:
( AQ
X
SP
)
(27,000 X $4.00)
$108,000
–
–
(
SQ
X
SP )
(26,000 X $4.00)
$104,000
= $4,000 U
(b)
Total materials variance:
( AQ
X
AP )
(25,200 X $4.15)
$104,580
–
–
(
SQ
X
SP )
(26,000 X $4.00)
$104,000
= $580 U
Materials price variance:
(
AQ
X
AP
)
(25,200 X $4.15)
$104,580
–
–
(
AQ
X
SP )
(25,200 X $4.00)
$100,800
= $3,780 U
Materials quantity variance:
(
AQ
X
SP )
(25,200 X $4.00)
$100,800
–
–
(
SQ
X
SP )
(26,000 X $4.00)
$104,000
= $3,200 F
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11-3