# Variance calculations

Please see attached question.

A company produces the follow incomplete information regarding actual and budgeted direct material and production:

Budgeted Actual

Units produced 1,500 UNITS ? units

Material used 6,000 kg 6,640 kg

Price pad per kg $? $2.10

The following variances are known

Material price variance $664 U

Material flexible variance $1,144 U

Material volume variance $800 U

1. What is the budgeted price per kg?

2. What is the efficiency variance for direct materials?

3. What is the actual number of units produced?

https://brainmass.com/business/accounting/accounting-variance-calculations-245122

#### Solution Preview

A company produces the follow incomplete information regarding actual and budgeted direct material and production:

Budgeted Actual

Units produced 1,500 UNITS ? units

Material used 6,000 kg 6,640 kg

Price pad per kg $? $2.10

The following variances are known

Material ...

#### Solution Summary

The solution explains how to calculate some figures given the variances.