The standard product mix for making 12,500 tubes of liquid solder is: Kgs. Cost /unit Tolal cost Material A 1,500.00 0.06 90.00 Material B 625.00 0.40 250.00 Material C 1.000.00 0.25 250.00 During April, 77,500 tubes were produced from an input of: Kgs. Cost /unit Total cost 0.056 490.00 0.380 1,425.00 Material A 8,750.00 Material B 3,750.00 Material C 6,250.00 0.280 1,750.00 Compute for the materials yield variance. Indicate whether favorable or unfavorable.

Managerial Accounting: The Cornerstone of Business Decision-Making
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Chapter10: Standard Costing And Variance Analysis
Section: Chapter Questions
Problem 58E: At the beginning of the year, Lopez Company had the following standard cost sheet for one of its...
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PRESENT YOUR ANSWER AS: 10 FAVORABLE OR 10 UNFAVORABLE.
The standard product mix for making 12,500 tubes of
liquid solder is:
Cost /unit Tolal cost
90.00
Kgs.
Material A
1,500.00
0.06
Material B
625.00
0.40
250.00
Material C
1,000.00
0.25
250.00
During April, 77,500 tubes were produced from an input of:
Kgs.
Cost /unit Total cost
Material A
8,750.00
0.056
490.00
0. 380 1,425.00
0. 280 1,750.00
Material B
3,750.00
Material C
6,250.00
Compute for the materials yield variance. Indicate
whether favorable or unfavorable.
Transcribed Image Text:PRESENT YOUR ANSWER AS: 10 FAVORABLE OR 10 UNFAVORABLE. The standard product mix for making 12,500 tubes of liquid solder is: Cost /unit Tolal cost 90.00 Kgs. Material A 1,500.00 0.06 Material B 625.00 0.40 250.00 Material C 1,000.00 0.25 250.00 During April, 77,500 tubes were produced from an input of: Kgs. Cost /unit Total cost Material A 8,750.00 0.056 490.00 0. 380 1,425.00 0. 280 1,750.00 Material B 3,750.00 Material C 6,250.00 Compute for the materials yield variance. Indicate whether favorable or unfavorable.
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