PEV Answers for Section 1

Khurram Taj
Khurram Taj Registered Posts: 29 Regular contributor ⭐
Hi All

I have got answer for PEV section 1, could anybody tell me, are they right?

Task 1.1

5000 Kg
5000 Kg
100 Sq Metre
£15000
£7500
£1000
£6500

B

£800 A
£2250F
£600F
£1875 A
£550F
£150A

C

Standard cost of actual material for 9500 one KG Packs= £22325
Actual Cost of actual material for 9500 one KG Packs = £21750

D

Fixed Overhead Expenditure Varience = £1000 Adverse

Fixed Overhead Volume Varience = £ 1325A


Task 1.2


Some detail report writing

Task 1.3

a) £1400 £1500 £1600
b) £1500 £1400 £1750
C) £1.50 Kg £1.4 Kg 1.75 Kg index numbers 66.6 71.42 57.14

Task 1.4

A) Production engineer talking about idel standard

Which is not possible in this situation because in a week long trail production per labour was 800 jars and if somthing happen like machine broke down, disruption etc production was only 600 jars.

B) Labour may think 600 jars target easy to achieve and it could be lost of labour time and afact their effiiciency and if they achieved 800 jars target than it could be a favourable capacity. so company sould make practical standar so that it does not effact labour efficiency and capacity and profitable for company s interst.

Comments

  • messedup89
    messedup89 Registered Posts: 1,281 Beyond epic contributor 🧙‍♂️
    how you get answers?
  • AATmunkee
    AATmunkee Registered Posts: 123 Dedicated contributor 🦉
    Hi All

    I have got answer for PEV section 1

    Task 1.1

    5000 Kg
    5000 Kg
    100 Sq Metre
    £15000
    £7500
    £1000
    £6500

    B

    £800 A
    £2250F
    £600F
    £1875 A
    £550F
    £150A

    C

    Standard cost of actual material for 9500 one KG Packs= £22325
    Actual Cost of actual material for 9500 one KG Packs = £21750

    D

    Fixed Overhead Expenditure Varience = £1000 Adverse

    Fixed Overhead Volume Varience = £ 1325A


    Task 1.2


    Some detail report writing

    Task 1.3

    a) £1400 £1500 £1600
    b) £1500 £1400 £1750
    C) £1.50 Kg £1.4 Kg 1.75 Kg index numbers 66.6 71.42 57.14

    Task 1.4

    A) Production engineer talking about idel standard

    Which is not possible in this situation because in a week long trail production per labour was 800 jars and if somthing happen like machine broke down, disruption etc production was only 600 jars.

    B) Labour may think 600 jars target easy to achieve and it could be lost of labour time and afact their effiiciency and if they achieved 800 jars target than it could be a favourable capacity. so company sould make practical standar so that it does not effact labour efficiency and capacity and profitable for company s interst.

    The only thing here i dont agree with is Task 1.3b as they gave you new seasonal variations to work to.
  • exam panic
    exam panic Registered Posts: 157 Dedicated contributor 🦉
    b Answer

    800A
    3000F
    1500A
    600F
    100A
    550F
    This is the right answer because it will balance
  • AATmunkee
    AATmunkee Registered Posts: 123 Dedicated contributor 🦉
    exam panic wrote: »
    800A
    3000F
    1500A
    600F
    100A
    550F
    This is the right answer because it will balance

    Mine balanced too with the answers above
  • exam panic
    exam panic Registered Posts: 157 Dedicated contributor 🦉
    hi

    1750 is the differrence


    That will be balance on material alone 30000-6500(budget fixed overhead)=23500
    29250-7500(fixed overhead)= 21750 and the difference this 2 is 1750
  • exam panic
    exam panic Registered Posts: 157 Dedicated contributor 🦉
    your difference is 575 how come it blalance

    Because difference betwen is 1750
  • AATmunkee
    AATmunkee Registered Posts: 123 Dedicated contributor 🦉
    exam panic wrote: »
    Because difference betwen is 1750

    i def got 575.. its because u did 5000 x £3 and 5000 x £1.5 where as i did 4750kg X £3 and so on.
  • exam panic
    exam panic Registered Posts: 157 Dedicated contributor 🦉
    Tell me how you balance

    can you tell me how you balance material alone you have to work out from 10000 not 9500 , 500 scrap don't have value
  • The Master
    The Master Registered Posts: 34 Regular contributor ⭐
    i got 325a for the volume variance - should it have been 1325a?
  • AATmunkee
    AATmunkee Registered Posts: 123 Dedicated contributor 🦉
    I did 4750kgs x 3
    4750kgs x 1.50
    95sqmtrs x £15

    That totals to £22325. Standard material cost for 9500 units
  • The Master
    The Master Registered Posts: 34 Regular contributor ⭐
    Hi All

    I have got answer for PEV section 1, could anybody tell me, are they right?

    Task 1.1

    5000 Kg
    5000 Kg
    100 Sq Metre
    £15000
    £7500
    £1000
    £6500

    B

    £800 A
    £2250F
    £600F
    £1875 A
    £550F
    £150A

    C

    Standard cost of actual material for 9500 one KG Packs= £22325
    Actual Cost of actual material for 9500 one KG Packs = £21750

    D

    Fixed Overhead Expenditure Varience = £1000 Adverse

    Fixed Overhead Volume Varience = £ 1325A


    Task 1.2


    Some detail report writing

    Task 1.3

    a) £1400 £1500 £1600
    b) £1500 £1400 £1750
    C) £1.50 Kg £1.4 Kg 1.75 Kg index numbers 66.6 71.42 57.14

    Task 1.4

    A) Production engineer talking about idel standard

    Which is not possible in this situation because in a week long trail production per labour was 800 jars and if somthing happen like machine broke down, disruption etc production was only 600 jars.

    B) Labour may think 600 jars target easy to achieve and it could be lost of labour time and afact their effiiciency and if they achieved 800 jars target than it could be a favourable capacity. so company sould make practical standar so that it does not effact labour efficiency and capacity and profitable for company s interst.

    all except the volume variance where i got 323a
  • AATmunkee
    AATmunkee Registered Posts: 123 Dedicated contributor 🦉
    I got 325a too...
  • Esme
    Esme Registered Posts: 711 Epic contributor 🐘
    Surely the index numbers are wrong.. they should have all been above 100??
  • jow774
    jow774 Registered Posts: 465 Dedicated contributor 🦉
    I thought that with the index, but the lower index was the only one which would give the current figures values
    anywhere near the march price.
  • Esme
    Esme Registered Posts: 711 Epic contributor 🐘
    You thought what I said or agree with the earlier posts?

    How can you guys remember every answer you put!!!?
  • jow774
    jow774 Registered Posts: 465 Dedicated contributor 🦉
    Sorry I mean thought index should be over 100. But I thought they wanted to compare the recent price to the March 09 one so I went for the below 100 figure.
  • Ally3004
    Ally3004 Registered Posts: 1 New contributor 🐸
    Hi Yes I go these answers but could balance my opperating statement for some reason? i found it realy hard and didnt have time to finish!
  • jow774
    jow774 Registered Posts: 465 Dedicated contributor 🦉
    I found that there was loads and loads to write and it did same longer than the other papers which made it hard going towards the end. I cant revise for PCR coz my hand wont write anymore!
  • jow774
    jow774 Registered Posts: 465 Dedicated contributor 🦉
    Esme wrote: »
    You thought what I said or agree with the earlier posts?

    How can you guys remember every answer you put!!!?

    Just checked in my books and I think your right esme, that the index should be over 100
  • Rachey
    Rachey Registered Posts: 589 Epic contributor 🐘
    jow774 wrote: »
    Just checked in my books and I think your right esme, that the index should be over 100

    I got something like 180, 170 and 205 (approx, may be 160 or something though!! My memory isnt too great)
  • rach40
    rach40 Registered Posts: 8 New contributor 🐸
    Question on forecasting prices

    Can anyone tell me how the question on forecasting future prices should of been answered ? What was underlying cost of the first three months and the seasonal changes ? I did not have a clue ?
  • sdv
    sdv Registered Posts: 585 Epic contributor 🐘
    rach40 wrote: »
    Can anyone tell me how the question on forecasting future prices should of been answered ? What was underlying cost of the first three months and the seasonal changes ? I did not have a clue ?

    Month.......Cost.....Trend.....Seasonal Variation
    Sept 09.....1200.....1400.....-200
    Oct 09......1600.....1500......100
    Nov 09......1500.....1600....-100

    The trend is a monthly increase of £100

    Dec 09.....1800.....1700......100
    Jan10......1900......1800....-100
    Feb10......2050.....1900......150


    Index

    March09......1000.....100%.....100
    Dec09.........1800.....180%.....180.....(1800/1000 x 100)
    Jan09.........1900......190%.....190.....(1900/1000 x 100)
    Feb02........2050.......205%.....205.....(2050/1000 X 100)
  • COMA
    COMA Registered Posts: 21 New contributor 🐸
    sdv wrote: »
    Month.......Cost.....Trend.....Seasonal Variation
    Sept 09.....1200.....1400.....-200
    Oct 09......1600.....1500......100
    Nov 09......1500.....1600....-100

    The trend is a monthly increase of £100

    Dec 09.....1800.....1700......100
    Jan10......1900......1800....-100
    Feb10......2050.....1900......150


    Index

    March09......1000.....100%.....100
    Dec09.........1800.....180%.....180.....(1800/1000 x 100)
    Jan09.........1900......190%.....190.....(1900/1000 x 100)
    Feb02........2050.......205%.....205.....(2050/1000 X 100)

    I hope you're right because that's exactly how I did it :)
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