EXERCISE 10-2 (20 MINUTES)

22, - SOLUTIONS TO QUESTION MANAGERIAL ACCOUNTING CH10 STANDARD COST AND THE BALANCE SCORECARD
SOLUTIONS TO QUESTION MANAGERIAL ACCOUNTING CH10 STANDARD COST AND THE BALANCE SCORECARD
22,500 kilograms × 21,000 kilograms* × RM 8 per kilogram RM 8 per kilogram RM 171,000 = RM 180,000 = RM 168,000 ↑ ↑ ↑Price Variance, RM 9,000 F Quantity Variance, RM 12,000 U Total Variance, RM 3,000 U *35,000 helmets × 0.6 kilograms per helmet = 21,000 kilograms Alternatively: Materials price variance = AQ (AP – SP)