Calculation of Value$-$Added and Non$-$Value$-$Added Costs, Activity Volume and Uniused Capacity Variances

Required:

$1.$ Calculate the volume and unused capacity variances for the setup activity. Enter all amounts as positive values.

Volume Variance

Unused Capacity Variance

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Theck My Work

$1.$ Activity volume variance $\backslash (=($A Q$-$S Q$)\backslash$times S P $\backslash ).$ Unused Capacity variance $\backslash (=($A U$-$A Q$)\backslash$times S P $\backslash ).$

$2.$ Prepare a report that presents value$-$added, non$-$value$-$added, and actual costs for setup.

Rico Company

Value and Non$-$Value$-$Added Cost Report