COMM 103-The standard cost of chemical mixture

by | Mar 18, 2020 | Uncategorized

  

The standard cost of chemical mixture ~ PQ’ is as follows:40% of material P @ Rs. 400 per kg.60% of material Q @ Rs. 600 per kg.A standard loss of 10% is normally anticipated in production. The followingparticulars are available for the month of March, 2005.180 kgs of material P have been used @ Rs. 680 per kg.220 kgs of material Q have been used @ Rs. 360 per kg.The actual of production of ‘PQ’ was 369 kgs.Calculate the following variance:

a) Material Price Variance

b) Material Usage Variance

c) Material Mix Variance

d) Material Yield Variance

  

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