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Brussels Chocolate Company produces chocolates in large batches

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Brussels Chocolate Company produces chocolates in large batches. One batch of chocolate has the following standard costs and amounts: (12 marks)

 

Standard kilograms of sugar

125

Standard cost per kilogram of sugar

$1.60

Standard direct labour hours

0.75

Standard direct labour cost per hour

$21.00

 

Brussels Chocolate Company produced 600 batches of chocolates in the most recent month. Actual input costs and per batch usage levels were as follows:

 

Actual kilograms of sugar used

126

Actual cost per kilogram of sugar

$1.65

Actual direct labour hours

0.80

Actual direct labour cost per hour

$20.75

 

Required:

a.  Calculate the total material input rate variance.

b.  Calculate the total material efficiency variance.

c.  Calculate the total labour rate variance.

d.  Calculate the total labour efficiency variance.