ning and learning resource Why Are Standort Costs Used for Din Mei Choose Of The Forgot to eBook Show Me How Print Item Direct Materials Variances The following data relate to the direct materials cost for the production of 2,300 automobile tires: Actual: 53,600 lb. at $1.90 Standard: 52,500 lb. at $1.95 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. Price variance Quantity variance = Total direct materials cost variance b. The direct materials price variance should normally be reported to the If lower amounts of direct materials had been used because of production efficiencies, the variance would be reported to the If the favorable use of raw materials had been caused by the purchase of higher quality raw materials, the variance should be reported to the eBook Show Me How Printre Direct Materials and Direct Labor Variances At the beginning of June, Geppetto's Toy Company budgeted 22,000 toy action figures to be manufactured in June at standard direct materials and direct later costs as follows: Direct materials $27,500 Direct labor 7.920 Total $35,420 The standard materials price is $0.50 per pound. The standard direct labor rate is $9.00 per hour. At the end of June, the actual direct materials and direct latior conta were as follows Actual direct materials $25,500 Actual direct labor 7,400 Total $33,200 There were no direct materials price or direct laborate varices for Sune. In addition, assume no change in the direct material mentory balance in ure. Gespetto Toy Company actually produced 20,000 units during June Determine the direct materials antity and direct or time variance. Round your per unit computations to two decimal places, if required. Interativorable Vance as a negative number using a minussion and an unfavorable variance as a positive number Direct materials quently variance Direct labor time variance Previous Next Old My Won Check Myang Suomen for Grant 31% All saved