Stellar Packaging Products’ controller, Robin Simmons

Stellar Packaging Products’ controller, Robin Simmons, recently completed the direct materials and direct labor variance analyses for the current period. The direct materials price variance for plastic was unfavorable; the direct materials efficiency variance for plastic was favorable. In addition, the direct labor price variance was unfavorable; the direct labor efficiency variance was favorable.

Often variances occur simultaneously and provide insight regarding the performance for the period. Indicate one reason for each of two of these variances and ensure your explanation is interrelated, meaning the two events giving rise to the variance occurred simultaneously in a cause and effect manner.

For this discussion:

Support your position.
Select two peer posts and comment on the content of their posts. Does your selection differ from that of your peers? If so, how does that response contrast to your own?

preview of the answer..

There are two variances that occurred within the parameters of the report. Firstly, the variance for the direct materials was unfavorable. This means that for one reason or the other, the materials that are necessary as a factor of production for the venture became more costly. The second variance is the efficiency variance was favorable. For a packaging company (Stellar Packaging Products), a favorable direct labor price for the company means that over the course of the research analysis period; plastic became..

APA 312 words