Katharine Stenback is the owner of Groovy âBikes, a company that produces high qualityâ cross-country bicycles. Groovy Bikes participates in a supply chain that consists ofâ suppliers, manufacturers,â distributors, and elite bicycle shops. For several years Groovy Bikes has purchased titanium from suppliers in the supply chain. Groovy Bikes uses titanium for the bicycle frames because it is stronger and lighter than other metals and therefore increases the quality of the bicycle. Earlier this year, Groovy Bikes hired Michael Kerwin, a recent graduate from State University, as purchasing manager. Michael believed that he could reduce costs if he purchased titanium from an online marketplace at a lower price. Cost of titanium $19 per pound
Titanium used per bicycle 8lbs
Actual results for the first month using the online supplier of titanium are as follows:
Bicycles produced 700
Titanium purchased 8,100 lbs. for $145,000
Titanium used in production 7,100 lbs

Required:
a. Compute the direct materials price and efficiency variances.
b. What factors can explain fie variances identified in requirement 1? Could any Other variances be affected?
c. Was switching suppliers a good idea for Groovy Bikes? Explain why or why not.
d. Should Michael Kerwin's performance evaluation be based solely price variances? Should the production manager' evaluation be based solely on efficiency variances? Why is it important (or Katharine Stenback to understand the causes of a variance before she evaluates performance?
e. Other than performance evaluation, what reasons are there for calculating variances?
f. What future problems could result from Groovy Bikes' decision to buy a lower quality of titanium from the online marketplace?

1. revising for conciseness - eliminating flabby expressions,limiting long lead-ins, and dropping unnecessary fillerstime is money in any business environment. people want information communicated quickly and clearly. to make your writing more concise and understandable, avoid flabby expressions, long lead-ins, and unnecessary fillers. your audience will appreciate your brevity.1. if your writing contains a flabby expression like in view of the fact that, replace it with the word because / although / probably .for each of the following two sentences, choose the best revision.2. i am sending you this letter to inform you that we have experienced an unexpected surprise within our expense sheet, but we are positively certain we will solve it.1) we need to inform you that we have experienced an unexpected surprise with our expense sheet, but we are midway to an end result.2) we have identified a problem with our expense sheet, but we will solve it.3) i am sending you this letter to inform you that we have a problem with our expense sheet, but we are positively certain we have a solution.3. it is the user who should contact the center.1) everyone knows that it is the user who should contact the center.2) the user should contact the center.3) if there is a problem, the user should contact the center.read the following passage, and then answer the question.[1] you scheduled seven conference calls for this morning between 10 and 11 a.m. [2] generally, the company limits the number of conference calls to three per hour. [3] i’m letting you know that in the future, we should be more careful about scheduling.4. which revision limits the long lead-in in sentence 3? 1) in the future, we should be more careful about scheduling.2) i’m letting you know so that in the future we are more careful about scheduling calls.3) so that you know in the future, we should be more careful about scheduling.