CBA Company produced 45,000 units of product K. The entity provided you with additional information as...

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CBA Company produced 45,000 units of product K. The entity provided you with additional information as follows: Volume produced (in units) Total materials required/used to produced 45,000 units Total material costs Total hours Budgeted/Actual payroll Requirement: Show computation for the following: a. Material price variance b. Material usage variance c. Labor rate variance d. Labor efficiency variance MAX Standard 94,500 P49,500 6,750 P94,500 Actual 45,000 99,000 P54,000 5,400 P81,000 CBA Company produced 45,000 units of product K. The entity provided you with additional information as follows: Volume produced (in units) Total materials required/used to produced 45,000 units Total material costs Total hours Budgeted/Actual payroll Requirement: Show computation for the following: a. Material price variance b. Material usage variance c. Labor rate variance d. Labor efficiency variance MAX Standard 94,500 P49,500 6,750 P94,500 Actual 45,000 99,000 P54,000 5,400 P81,000

Answer rating: 100% (QA)

To calculate the variances you can use the standard costing formulas for each of them Here are the c... View the full answer