Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

CIMA Exam CIMAPRO19-P01-1 Topic 8 Question 103 Discussion

Actual exam question for CIMA's CIMAPRO19-P01-1 exam
Question #: 103
Topic #: 8
[All CIMAPRO19-P01-1 Questions]

TP makes wedding cakes that are sold to specialist retail outlets which decorate the cakes according to the customers' specific requirements. The standard cost per unit of its most popular cake is as follows:

The general market prices at the time of purchase for Ingredient A and Ingredient B were $23 per kg and $20 per kg respectively. TP operates a JIT purchasing system for ingredients and a JIT production system; therefore, there was no inventory during the period.

What was the material yieldvariance?

Show Suggested Answer Hide Answer
Suggested Answer: D

by Louvenia at Nov 16, 2024, 10:53 PM

Limited Time Offer

25%

Off

Get Premium CIMAPRO19-P01-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel
Bea
2 months ago
I bet the person who wrote this question has a real knead for detail.
upvoted 0 times
...
Julian
2 months ago
Well, at least it's not a cake walk. Get it? Cake walk? Oh, never mind.
upvoted 0 times
...
Whitley
2 months ago
Wait, is this a trick question? All the answers look pretty similar to me.
upvoted 0 times
Bernardo
21 days ago
D) The material yield variance was $175 000 A
upvoted 0 times
...
Lavonne
29 days ago
C) The material yield variance was $155000 A
upvoted 0 times
...
Joseph
1 months ago
B) The material yield variance was $175500 A
upvoted 0 times
...
Tanja
1 months ago
A) The material yield variance was $98500 A
upvoted 0 times
...
...
Ena
2 months ago
Ah, a classic material yield variance problem. I'm feeling confident about this one.
upvoted 0 times
Juan
2 months ago
I agree, that seems like the correct answer.
upvoted 0 times
...
Franklyn
2 months ago
I think the material yield variance was $175500 A
upvoted 0 times
...
...
Sheridan
2 months ago
I'm not sure, but I think the material yield variance was $175 000 A based on the market prices of the ingredients.
upvoted 0 times
...
Hollis
3 months ago
Hmm, I'm not entirely sure about this one. The information provided seems a bit tricky to parse.
upvoted 0 times
Jesus
2 months ago
Actually, the correct answer is $155000 A
upvoted 0 times
...
Shannon
2 months ago
No, I believe the material yield variance was $175500 A
upvoted 0 times
...
Sherron
2 months ago
I agree, the material yield variance was $155000 A
upvoted 0 times
...
Lili
2 months ago
I think the material yield variance was $155000 A
upvoted 0 times
...
...
Chaya
3 months ago
I believe it was $155000 A because the actual cost of ingredients was lower than the standard cost.
upvoted 0 times
...
Frankie
3 months ago
This question looks pretty straightforward. I think the answer is B.
upvoted 0 times
Meghann
2 months ago
Great explanation, thanks for breaking it down!
upvoted 0 times
...
Felix
2 months ago
Exactly, in this case it would be ($23 + $20) * 8000 - $2,000,000 = $175,500
upvoted 0 times
...
Francene
2 months ago
That makes sense, the material yield variance is calculated by taking the standard cost of material used minus the actual cost of material used multiplied by the actual quantity used.
upvoted 0 times
...
Maybelle
3 months ago
I agree, the answer is B) The material yield variance was $175500 A
upvoted 0 times
...
...
Pearlie
3 months ago
I think the material yield variance was $175500 A.
upvoted 0 times
...

Save Cancel