材料全屏 An operating statement has been partially completed for a company that makes pies andpasties: $ Budgeted contribution 5,075 Sales volume variance 175 (F) Standard contribution on actual sales 5,250 Sales price variance 750 (A) 4,500 Favourable($) Adverse ($) Cost variances Materials price 700 Materials usage 600 Labour rate 724 Labour efficiency 650 Variable overhead rate Variable overhead efficiency GAP1 Fixed overhead expenditure Total 41 【简答题】 For the following variances, state whether it is true or false that the variance stated above could be caused by better quality ingredients being purchased for the pies: (i) Sales volume (ii) Materials price (iii) Labour rate (iv) Materials usage (v) Sales price
【参考答案及解析】
(i) True (better quality final product, sold more units) (ii) True (better quality ingredients cost more) (iii) False (nothing to do with the quality of ingredients) (iv) True (less wastage in the preparation process) (v) False (it is adverse, but better quality ingredients would imply a higher quality product and higher price)
(i) True (better quality final product, sold more units) (ii) True (better quality ingredients cost more) (iii) False (nothing to do with the quality of ingredients) (iv) True (less wastage in the preparation process) (v) False (it is adverse, but better quality ingredients would imply a higher quality product and higher price)