IE$9-3$ Calculating Materials Price and Quantity Variances when Materials Purchased Does Not Equal Materials Used

Masik, Incorporated is analyzing its most current direct materials results against the budget.

Here is the standard cost information:

Standard Cost per Direct Material Standard Quantity per Unit Standard Cost per Unit

Direct Materials $ $9\mathrm{.}502$ $ $19\mathrm{.}00$

Actual cost information is below:

Units Produced $4,000$

Materials Purchased $8,500$

Material Used $7,800$

Cost of Direct Materials $ $85,000$

Required:

Fill in the cells below with required data for variance calculations and favorability.

Hint: Use the ABS$()$ function to calculate amounts and use an IF$()$ condition to determine the favorability of the variances.

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