Assessment 2 - Task 6C

Hi,

Please could someone show me the workings for this question:



Thanks

Comments

  • JSmith
    JSmith Registered Posts: 20
    Nevermind, i think its worked out like this:

    Material price = (272,800/12,400) = £22 * 11,400 = £250,800
    250,800 - 257,640 = (6840) Adverse

    Actual usage = 11,400 kg
    Standard price per kg = budgeted cost/budgeted material = 272,800/12,400 = £22
    Standard cost for actual usage = Standard price per kg * actual material = £22 * 11,400 = £250,800
    Standard material cost of production - Standard cost for actual usage = £267,520 - £250,800 = £16,720 Favourable

    Material cost = (6840) + 16720 = £9,880
  • Krisso
    Krisso AATQB, AAT Licensed Bookkeeper Posts: 126
    I personally find setting it out like this helps


Privacy Policy