• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

Congratulations to Jamil from Pakistan and Jeeva from Malaysia - Global Prize winners!
see all ACCA December 2022 Genius Hunt Competition winners >>

Specially for OpenTuition students: 20% off BPP Books for ACCA & CIMA exams – Get your BPP Discount Code >>

MATERIALS YIELD VARIANCE

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › MATERIALS YIELD VARIANCE

  • This topic has 3 replies, 2 voices, and was last updated 1 year ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • September 3, 2021 at 8:48 am #634104
    tryness.gatsi@gmail.com
    Member
    • Topics: 1
    • Replies: 2
    • ☆

    Hello sir
    I was doing the September 2018 PM question (Kappa co)
    I am having challenges calculating the material yield variance, especially on how to get the standard quantity in standard mix. I am able to calculate the actual quantity in standard mix, and i know i use the standard costs

    on my understanding, my thought process was this:
    An output of 100kg of Omega requires 120 kgs, that 40, 60 and 20 of alpha, beta, gamma respectively. thus an input of 120 is expected to produce an output of 100, meaning a loss of 20%
    Then i said 4600 kg actually produced divided by 80% output, is 5750. this 5750 i took as my standard quantity. To get the SQSM I then said 40/120* 5750 , 60/120*5750 and 20/120*5750 getting 1917, 2875 and 958 respectively. However the solution I am looking at is giving 1840, 2760 and 920 respectively.

    I do not know where i went wrong.
    please assist
    Thanks

    September 3, 2021 at 11:15 am #634123
    John Moffat
    Keymaster
    • Topics: 56
    • Replies: 51560
    • ☆☆☆☆☆

    Your mistake is using 80% (the loss is not 20% but is 20/120).

    The actual output is 4,600. The input should be 120kg for every 100kg of output and so the input should be 120/100 x 4,600 = 5,520 kg

    At standard mix, this should be split as follows. Alpha: 40/120 x 5,520 = 1,840; Beta: 60/120 x 5,520 = 2,760; and Gamma: 20/120 x 5,520 = 920.

    September 6, 2021 at 4:06 am #634520
    tryness.gatsi@gmail.com
    Member
    • Topics: 1
    • Replies: 2
    • ☆

    well explained. it is clear now. thank you

    September 6, 2021 at 8:14 am #634535
    John Moffat
    Keymaster
    • Topics: 56
    • Replies: 51560
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

ACCA News:

 

ACCA My Exam Performance for non-variant Applied Skills exams is available NOW

NEW! Download the ACCA Pass Guide

FREE Verifiable CPD for ACCA Members

ACCA mock exams and debrief videos

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

Donate

If you have benefited from OpenTuition please donate.

ACCA CBE 2023 Exams

Instant Poll * How was your exam, and what was the result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Specially for OpenTuition students

20% off BPP Books

Get BPP Discount Code

Latest comments

  • MelodyC on MA Chapter 10 Questions The Management Accountant’s Profit Statement – Marginal Costing
  • douglasnyangara on Foreign exchange risk management (1) Part 4 – ACCA (AFM) lectures
  • douglasnyangara on Foreign exchange risk management (1) Part 4 – ACCA (AFM) lectures
  • AnnaTeddy on Basic group structures – SPLOCI introduction and example – ACCA (SBR) lectures
  • tanyanti on Conceptual Framework – ACCA SBR lecture

Copyright © 2023 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in


We use cookies to show you relevant advertising, find out more: Privacy Policy · Cookie Policy