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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Yield variance.
Hondru operates a standard costing system. The standard direct
materials to produce 1,000 units of output is as follows:
During April the actual output of the product was 21,000 units. The actual
materials issued to production were:
Required:
Calculate the material yield variance. Comment on the figures calculated.
Material grade Input quantity (kgs) Standard price per kg ($)
A 600kg 1.10$
B 240kg 2.40$
C 360kg 1.50$
Material grade
A 14000kg
B 5500kg
C 5500kg
Quantity (kgs)
The book has answer $297 F
my answer is 446F.
I understand you dont answer the questions from other books, but please help. I tried solving it by your method by multiplying the variance with standard $ per kg.
Example 9 Book kaplan 2017-18
Alright, I just figured it out. I wasn’t applying standard mix on actual usage.
I am pleased that you have figured it out 🙂