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Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company's products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,100 helmets, using 2,015 kilograms of plastic. The plastic cost the company $13,299. According to the standard cost card, each helmet should require 0.55 kilograms of plastic, at a cost of $7.00 per kilogram.
Required:
Question 1. What is the standard quantity of kilograms of plastic (SQ) that is allowed to make 3, 100 helmets?
Question 2. What is the standard materials cost allowed (SQ x SP) to make 3, 100 helmets?
Question 3. What is the materials spending variance?
Question 4. What is the materials price variance and the materials quantity variance?
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