Question
Allen Companys master budget called for 50,000 units of production. Budgeted direct material costs at this level were $450,000 or $9 per unit. Allen actually
Allen Companys master budget called for 50,000 units of production. Budgeted direct material costs at this level were $450,000 or $9 per unit. Allen actually produced 54,000 units and incurred direct material costs of $496,000. What is Allens direct material variance using flexible budgeting?
a. $10,000 U b. $46,000 U c. $36,000 U d. $10,000 F
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Intermediate Accounting
Authors: J. David Spiceland, James Sepe, Mark Nelson
6th edition
978-0077328894, 71313974, 9780077395810, 77328892, 9780071313971, 77395816, 978-0077400163
