Question

If you have a standard food cost of 38 percent, a product mix of 38 percent, and an actual food cost of 42 percent, what must you do to correct the problem?

Answer 1

Answer:

Investigate the production costs incurred and the mix and yield of the product

Explanation:

The Variance lies in the Price/Cost and Usage. Therefore to correct the problem, Investigate the production costs incurred and the mix and yield of the product.