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During the most recent month, a company purchased 40,000 pounds of direct material for a total cost of $210,000. Per-unit materials standards for a finished

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During the most recent month, a company purchased 40,000 pounds of direct material for a total cost of $210,000. Per-unit materials standards for a finished unit are 3 pounds of direct materials at $5 per pound. Last month, 12,000 units of product were produced that actually used 37,500 pounds of direct material. Compute the direct materials QUANTITY variance $6,250 Unfavorable (Bad Thing) $7.500 Unfavorable (Bad Thing) $9,375 Unfavorable (Bad Thing) O $10.500 Unfavorable (Bad Thing)

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