Control Limits During the last six weeks, the actual costs of materials for Mandarin Company were…

Control Limits During the last six weeks, the actual costs of materials for Mandarin Company were as follows: Week1 $48,000 Week 4 $57,000 Week 2 $50,000 Week 5 $60,000 Week 3 $52,500 Week 6 $65,000 The standard materials cost for each week was $50,000 with an allowable deviation of 5,000. Required:

Plot the actual costs over time against the upper and lower limits. Comment on whether or not there is a need to investigate any of the variances.