Question:
The standard cost of a certain chemical mixture is as follows:
40% of Material A at Rs. 20 per kg.
60% of Material B at Rs. 30 per kg.
A standard loss of 10% is expected in production during a period when the usage was:
90 tonnes of material at the cost of Rs. 38 per tonne.
110 tonnes of materials at the cost of Rs. 34 per tonne. The weight produced is 180 tonnes of a good product. Calculate the material variances.