Direct materials variances OBJ. 3 Lo-bed Company produces a product that requires two standard gallons per unit.

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Direct materials variances OBJ. 3 Lo-bed Company produces a product that requires two standard gallons per unit. The standard price is $20.00 per gallon. If 4,000 units required 8,200 gallons, which were purchased at $19.75 per gallon, what is the direct materials

(a) price variance,

(b) quantity variance, and

(c) cost variance?

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Related Book For  book-img-for-question

Financial And Managerial Accounting

ISBN: 9781305267831,9781305267848

13th Edition

Authors: Carl S. Warren , James M. Reeve , Jonathan Duchac

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