The Geneva Chocolate Company manufactures boxes of chocolate. The operating data for the past month are...

  

  

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The Geneva Chocolate Company manufactures boxes of chocolate. The operating data for the past month are summarized as follows: 1. Produced 2,000 boxes of chocolates 2. Direct materials: a. Purchased 6,200 kilograms @ $15.50 per kilogram; standard price is $16 per kilogram b. Used 4,300 kilograms; standard quantity is 2 kilograms per box 3. Direct labour: a. Actual cost was $195,200 for 6,400 hours worked b. Standard hours per box produced, 1.5 hours; standard rate per hour, $30 Required: =) Calculate the direct material price variance, direct material quantity variance, direct labour rate variance and the direct labour efficiency wariance for the past month. (8 marks) Material price variance Material quantity variance Supporting calculations 31 20 21 22 23 24 25 26 27 28 29 30 32 33 34 35 36 37 Decision Labour rate variance Labour efficiency variance Reason E H b. Geneva Chocolate Company tried a new supplier during the past month. Should they continue to use this supplier? Why or why not? (2 marks) Supporting calculations 11 M The Geneva Chocolate Company manufactures boxes of chocolate. The operating data for the past month are summarized as follows: 1. Produced 2,000 boxes of chocolates 2. Direct materials: a. Purchased 6,200 kilograms @ $15.50 per kilogram; standard price is $16 per kilogram b. Used 4,300 kilograms; standard quantity is 2 kilograms per box 3. Direct labour: a. Actual cost was $195,200 for 6,400 hours worked b. Standard hours per box produced, 1.5 hours; standard rate per hour, $30 Required: =) Calculate the direct material price variance, direct material quantity variance, direct labour rate variance and the direct labour efficiency wariance for the past month. (8 marks) Material price variance Material quantity variance Supporting calculations 31 20 21 22 23 24 25 26 27 28 29 30 32 33 34 35 36 37 Decision Labour rate variance Labour efficiency variance Reason E H b. Geneva Chocolate Company tried a new supplier during the past month. Should they continue to use this supplier? Why or why not? (2 marks) Supporting calculations 11 M