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Parallel Enterprises has collected the following data on one of its products. During the period the company produced 25,000 units. The direct materials price variance

Parallel Enterprises has collected the following data on one of its products. During the period the company produced 25,000 units. The direct materials price variance is:

Direct materials standard (7 kg. @ $2/kg)

$14 per finished unit

Actual cost of materials purchased

$322,500

Actual direct materials purchased and used

150,000 lbs.

$27,500 unfavorable

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