Two or More Materials :: Missing Figures Material Variances : Problems and Solutions

Problems » Solutions

01.

Compute the missing data indicated by the Question Marks from the following:

Particulars	A	B
Standard Price/Unit	Rs.12	Rs.15
Actual Price/Unit	Rs.15	Rs.20
Standard Input (kgs)	50	?
Actual Input (kgs.)	?	70
Material Price Variance	?	?
Material Usage Variance	?	Rs. 300 Adverse
Material Cost Variance	?	?

Material mix variance for both products together was Rs.45 adverse.

Solution

02.

Compute the missing data indicated by the Question Marks from the following:

Particulars	A	B
Standard Price/Unit	Rs.12	Rs.15
Actual Price/Unit	Rs.15	Rs.20
Standard Input (kgs)	50	50
Actual Input (kgs.)	?	70
Material Price Variance	?	?
Material Usage Variance	?	Rs. 300 Adverse
Material Cost Variance	?	?

Material mix variance for both products together was Rs.45 adverse.

Solution

03.

One kilogram of product 'K" requires two chemicals A and B. The following were the details of product 'K' for the month of June, 1987:
(a) Standard mix Chemical 'A' 50% and Chemical 'B' 50%.
(b) Standard price per kilogram of Chemical 'A' Rs.12 and Chemical 'B' Rs.15/-.
(c) Actual input of Chemical 'B' 70 kilograms.
(d) Actual price per kilogram of Chemical 'A' Rs.15
(e) Standard normal loss 10% of total input.
(f) Material cost variance total Rs.650 adverse.
(g) Materials yield variance total Rs.135 adverse.
You are required to calculate:
1. Materials mix variance total
2. Materials usage variance total
3. Materials price variance total
4. Actual loss of actual input
5. Actual input of Chemical'A'
6. Actual price per kilogram of Chemical 'B'.

Solution

Practice Problems

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Material Variances :: Problems : Two or More Materials Missing Figures

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