Show all work and calculations and fix if needed. Nutty Snacks produces snack mixes for the gourmet and natural foods market.

$($Click the icon to view the budgeted quantities and budgeted prices of direct materials.$)$

Data table

Its most popular product is Tempting Trail Mix, a mixture of peanuts, dried cranberries, and chocolate pieces. For each batch, the budgeted quantities and budgeted prices are as follows:

$\backslash$table$[[,$Quantity per Batch,Price per Cup,$],[$Peanuts$,50$ cups,$$,2],[$Dried cranberries,$40$ cups,$$,3],[$Chocolate pieces,$10$ cups,$$,4]]$

In the current period, Nutty Snacks made $150$ batches of Tempting Trail Mix with the following actual quantity, cost, and mix of inputs:

$($Click the icon to view the actual quantity, cost, and mix of inputs.$)$

Data table

Small changes to the standard mix of direct material quantities do not significantly affect the overall end product. In addition, not all ingredients added to production end up in the finished product, as some are rejected during inspection.

$\backslash$table$[[,$Actual Quantity,,Actual Cost,Actual Mix$],[$Peanuts$,8,320$ cups,$$,15,808,52\%],[$Dried cranberries,$5,440$ cups,,$17,462,34\%],[$Chocolate pieces,$1,760$ cups,,$6,882,11\%],[$Total actual,$16,000$ cups,$$,40,152,100\%]]$Requirement $1.$ What is the budgeted cost of direct materials for the $150$ batches?

Begin by calculating the total budgeted number of cups and the budgeted cost of direct materials for one batch.

$\backslash$table$[[,\backslash$table$[[$Quantity for$],[$One Batch$]],$Price of Input,$\backslash$table$[[$Total Cost for$],[$One Batch$]],],[$Peanuts$,50$ cups,$$,2$ per cup,$],[$Dried cranberries,$40$ cups,$$,3$ per cup,$],[$Chocolate pieces,$10$ cups,$$,4$ per cup,$],[$Total$,$cups,,,$]]$

Now select the formula and enter the amounts to calculate the budgeted cost of direct materials for $150$ batches.

$\backslash$table$[[$Budgeted cost per batch,$=,$ Number of batches,$=,$ Budgeted cost of $150$ batches$],[150,=3900,]]$

Requirement $2.$ Calculate the total direct materials efficiency variance.

Select the formula and enter the amounts to calculate the total direct materials efficiency variance. Identify each variance as either factorable $($F$)$ or unfavorable $($U$).($Enter any quantity amounts as the number of cups. Act. $=$ Actual, Budg. $=$ Budgeted, Cran. $=$ Cranberries, Effic. $=$ Efficiency, Qty$.=$ Quantity, Var. $=$ Variance.$)$Requirement $3.$ Calculate the total direct materials mix and yield variances.

Begin by selecting the formula and entering the amounts to calculate the total direct materials mix variance. Identify each variance as either factorable $($F$)$ or unfavorable $($U$).($Enter any percentages in decimal format to two decimal places, $0.xx.$ Abbreviations used: A$ of DM input $=$ Actual price of direct materials input, ADM mix $\%=$ Actual direct materials input mix percentage, ATQ inputs used$=$ Actual total quantity of all direct materials inputs used, B$ of DM input $=$ Budgeted price of direct materials input, BDM mix $\%=$ Budgeted direct materials input mix percentage, BTQ inputs allowed $=$ Budgeted total quantity of all direct materials inputs allowed for actual output, Mix var. $=$ Direct materials mix variance for each input.$)$

Next, select the formula and enter the amounts to calculate the total direct materials yield variance. Identify each variance as either factorable $($F$)$ or unfavorable $($U$).($Enter any percentages in decimal format to two decimal places, $0.xx.$ Abbreviations used: A$ of DM input $=$ Actual price of direct materials input, ADM mix $\%=$ Actual direct materials input mix percentage, ATQ inputs used$=$ Actual total quantity of all direct materials inputs used, B$ of DM input $=$ Budgeted price of direct materials input, BDM mix $\%=$ Budgeted direct materials input mix percentage, BTQ inputs allowed $=$ Budgeted total quantity of all direct materials inputs allowed for actual output, Yield var. $=$ Direct materials mix variance for each input.$)$Requirement $4.$ How do the variances calculated in requirement $3$ relate to those calculated in requirement $2?$ What do the variances calculated in requirement $3$ tell you about the $150$ batches produced this period? Are the variances large enough to investigate?

How do the variances calculated in requirement $3$ relate to those calculated in requirement $2?$

A$.$ The total efficiency variance combines with the total mix variance to equal the total yield variance.

B$.$ The total mix variance combines with the total yield variance to equal the total efficiency variance.

C$.$ The total yield variance less the total mix variance equals the total efficiency variance.

D$.$ The total mix variance less the total yield variance equals the total efficiency variance.

What do the variances calculated in requirement $3$ tell you