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Vienna Chocolate Company produces fudge in large batches. One batch of fudge has the following ...

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Vienna Chocolate Company produces fudge in large batches. One batch of fudge has the following ...

Vienna Chocolate Company produces fudge in large batches. One batch of fudge has the following standard costs and amounts:

Standard kilograms of sugar   100
Standard cost per kilogram of sugar   $1.90
Standard direct labour hours   2.0
Standard direct labour cost per hour   $18.00

Vienna Chocolate Company produced 400 batches of fudge in the most recent month. Actual input costs and per batch usage levels were as follows:

Actual kilograms of sugar used   102
Actual cost per kilogram of sugar   $2.10
Actual direct labour hours   1.8
Actual direct labour cost per hour   $17.50

Required:
a.   Calculate the total material input rate variance.
b.   Calculate the total material efficiency variance.
c.   Calculate the total labour rate variance.
d.   Calculate the total labour efficiency variance.

Textbook

Cost Accounting: A Managerial Emphasis, Canadian Edition

Edition: 7^th

Authors: Horngren, Datar, Rajan, Beaubien

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