Direct materials variances

The following data relate to the direct materials cost for the production of automobile tires:

Actual: $58,900$Ibs. at $$1\mathrm{.}70$ per $lb.$

Standard: $60,100lbs.$ at $$1\mathrm{.}75$ per $lb.$

a$.$ Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable

variance as a negative number using a minus sign and an unfavorable variance as a positive number.

b$.$ The direct materials price variance should normally be reported to the

Nhen lower amounts of direct materials are

used because of production efficiencies, the variance would be reported to th $lon$

D$.$ When the favorable use of raw materials is

caused by the purchase of higher$-$quality raw materials, the variance should be reported to the