Compute material price and quantity variances

Assignment Help Financial Accounting

Reference no: EM13135102

Joe Java is a chain of 55 coffee shops. The standard amount of ground coffee per cup is 0.80 ounces. During the month of September, the company sold 350,000 cups of coffee and the 55 shops reported using 18,600 pounds of coffee. Also during September, the company purchased 19,000 pounds of coffee at a cost of $290,700. The standard price per pound is $15. Joe Java views variances greater than 0.8% to be material in amount.

A. Compute material price and quantity variances.

B. Do either or both of the variances warrant investigation? Explain why or why not

have three free questions for today

Reference no: EM13135102

Questions Cloud

Problem related to affiliated group : Ajak Corporation owns 85% of the single class of Utech Corporation stock. Utech Corporation owns 35% of Tech Corporation. Ajak Corporation also owns 50% of Tech Corporation, and Tech Corporation owns 75% of Baxter Corporation.

What is the molar mass : 2.00 moles of a gas occupies 62.2 L at a par- ticular temperature and pressure. Its density is 0.900 g/L. What is the molar mass?

Should catalina report and then cancel those three sales : Catalina works for a regional sales branch of a large pharmaceutical company. Individual employees as well as individual goals, he or she receives a large bonus check at the end of the year.

Angle of strung guy wire : A guy wire (a type of support used for example, on radio antennas) is attached to the top of a 50 foot pole and stretched to a point that is d feet from the bottom of the pole.

Compute material price and quantity variances : Compute material price and quantity variances. Do either or both of the variances warrant investigation? Explain

Computing the volume of cylinder : The volume of a cylinder (think about the volume of a can) is given by V = pi r2h where r is the radius of the cylinder and h is the height of the cylinder. Suppose the volume of the can is 100 cubic centimeters.

Political and artistic implications of duccio''s maestà : Explain the political and artistic implications of Duccio's Maestà. Use examples to support your response.

List five components of an internal control system : the auditor must have an adequate understanding of what an internal control system is. List the five components of an internal control system and the importance of each.

Calculate the empirical formula for naphthalene : Combustion analysis of naphthalene, a hydrocarbon used in mothballs, produced 8.80 g CO2 and 1.44 g H2O. Calculate the empirical formula for naphthalene?

User Account

All Pages