SITO Elevator Company manufactures small hydroelectric elevators with a maximum capacity of ten passengers. One of the

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SITO Elevator Company manufactures small hydroelectric elevators with a maximum capacity of ten passengers. One of the direct materials used is heavy duty carpeting for the floor of the elevator. The direct materials quantity standard for April was 8 square yards per elevator. During April, the purchasing agent purchased this carpeting at $11 per square yard; the standard price for the period was $12. Ninety elevators were completed and sold during the month; the Production Department used an average of 8.5 square yards of carper per elevator. Calculate the company’s direct materials price and quantity variances for carpeting for April.


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Managerial Accounting

ISBN: 9780538742801

11th Edition

Authors: Susan V. Crosson, ‎ Belverd E. Needles

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