Materials usage, mix and yield variances
A company manufactures a chemical, Dynamite, using two compounds Flash and Bang. The standard materials usage and cost of one unit of Dynamite are as follows.
|
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$
|
|
Flash
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5 kg at $2 per kg
|
10
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|
Bang
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10 kg at $3 per kg
|
30
|
|
|
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40
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In a particular period, 80 units of Dynamite were produced from 500 kg of Flash and 730 kg of Bang.
Required
Calculate the materials usage, mix and yield variances.