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H.J. Heinz Company uses standards to control its materials costs. Assume that a batch of ketchup (1,400 pounds) has the following standards:

  Standard Quantity Standard Price

Whole tomatoes 2,300 lbs. $ 0.35 per lb.

Vinegar 130 gal. 2.1 per gal.

Corn syrup 11 gal. 7.8 per gal.

Salt 52 lbs. 1.9 per lb.

The actual materials in a batch may vary from the standard due to tomato characteristics. Assume that the actual quantities of materials for batch K-111 were as follows:

2,400 lbs. of tomatoes

125 gal. of vinegar

12 gal. of corn syrup

51 lbs. of salt

a. Determine the standard unit materials cost per pound for a standard batch. If required, round amounts to the nearest cent.

Ingredient Standard Cost per Batch Whole tomatoes $?

Vinegar $?

Corn syrup $?

Salt $?

Total $?

Standard unit materials cost per pound $?

 

b. Determine the direct materials quantity variance for batch K-111. If required, round amounts to the nearest cent. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Ingredient Materials Quantity Variance

Whole tomatoes $?

Vinegar $?

Corn syrup $?

Salt $?

Total direct materials quantity variance $?