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Compute the materials price variance

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Reference no: EM131774236

Pascal Fruit Drink Company planned to make 200,000 containers of apple juice. It expected to use two cups of frozen apple concentrate to make each container of juice. The standard price of one cup of apple concentrate is $0.25. Pascal actually paid $110,168.10 to purchase 408,030 cups of concentrate, which was used to make 201,000 containers of apple juice.

  1. Compute the materials price variance.
  2. Compute the materials usage variance.

Reference no: EM131774236

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