A guide to the Excel calculations on the case study of papaya partners on finding the cost variance. These include calculating direct material price and usage variance, labor rate and efficiency variance and other calculations. All calculations are correct.
Budget
Cost of fruit @ 10 pounds per
$ 200,000.00 $ 10.00 ###
carton
Cost of packaging @ 1 pound per
$ 10,000.00 $ 1,000.00
carton $ 0.50 $ 10.50
Labor costs @ .5 hours per
$ 90,000.00 $ 4.50 ###
carton
Total Cost $ 300,000.00 $ 15.00 ###
Actual
Cost of fruit @ 10 pounds per
$ 244,120.00 $ 12.21
carton
Cost of packaging @ .55 pound
$ 11,000.00
per carton $ 0.55 $ 12.76
Labor costs @ .75 hourse per
$ 150,000.00 $ 7.50
carton
Total Cost $ 405,200.00 $ 20.26
$ (45,120.00)
$105,200.0
Unfavorable variance
0
13.33333
$ 210,000.00
$ 255,120.00 Qty Price
$ 45,120.00 Mat A 200000 1.221 244200
Mat B 11000 1 11000
255200
Qty Price
Mat A 200000 1 200000
Mat B 11000 0.5 5500
205500
For a
Quantity (Pounds
Fruits
Packaging
For a
Quantity (Pounds
, Fruits
Packaging
Quantity (Pounds
Fruits
Packaging
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