1 Functions: IF; Formula: Multiply, Add, Subtract; Cell Referencing 2 E6.13 - Using Excel to Calculate Variances PROBLEM 5 The following information is available for Coady's Chocolates: 4 Student Work Area Required: Provide input into cells shaded in yellow in this template. Use mathematical formulas with cell references to the Problem or work area as indicated. Use the IF function to denote if each variance is Favorable or Unfavorable. 6 7 3,400 3,000 8 9 a. 10 11 Actual production, boxes Budgeted production, boxes Direct materials standards Pounds of chocolate per box Cost per pound Actual direct materials Pounds of chocolate purchased Pounds of chocolate used Cost per pound 3 6.00 AQ X AP $ 57,950 AQ x SP $ 57,000 S 12 13 14 9.000 9,500 6.10 Direct Materials Price Variance $ 950 Favorable $ 15 16 a. Calculate the direct materials price and quantity variances. 17 18 AQ * SP S 10,200 SQ x SP 9,000 $ b. What might have caused the variances you calculated? 19 20 21 Direct Materials Quantity Variance 1,200 Favorable b. might be the cost 22 23 24 25 26 27 28 29 30 31 Summary Enter