jalbert incorporated planned to use materials of $11 per unit but actually used materials of $13 per unit, and planned to make 1590 units but actually made 1780 units. the flexible budget variance for materials is?

Question

Business

Phoenix Lawson

29 April, 07:16

jalbert incorporated planned to use materials of $11 per unit but actually used materials of $13 per unit, and planned to make 1590 units but actually made 1780 units. the flexible budget variance for materials is?

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Nola Rush · Answer 1

Flexible budgeted variance is 3560 unfavorable

Explanation:

We have given budgeted cost to use the material = $11 per unit

And actual cost to use the material = $12 per unit

Budgeted unit produced = 1590 units

And actual unit produced = 1780 units

We have to find the flexible budgeted variance

Flexible budgeted variance is given by

Flexible budgeted variance = (Budgeted cost of material - Cost of material used) * actual units produced = ($11 - $13) * 1780 = - 3560 (unfavorable)