Question
Cabot Company collected the following data regarding production of one of its products. Compute the direct materials quantity variance. Direct Materials Standard (6lsbs. @S2/lb.) $12
Cabot Company collected the following data regarding production of one of its products. Compute the direct materials quantity variance. Direct Materials Standard (6ls\bs. @S2/lb.) $12 finished unit; Actual direct materials used 243,00lbs; Actual finished units produced 40,000 units; Actual cost of direct materials used $483,570. The answers I have are: a. $2,430 unfavorable. b. $3,570 unfavorable. c. $2,430 favorable. d. $6,000 unfavorable. e. $3,570 favorable.
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Financial Accounting An International Introduction
Authors: David Alexander
7th Edition
129229583X, 978-1292295831
