Question 46

A company developed the following per unit materials standards for its product: 3 pounds of direct materials at $5 per pound. If 12,000 units of product were produced last month and 37,500 pounds of direct materials were used, the direct materials quantity variance was

Group of answer choices

$4,500 unfavorable.

$7,500 favorable.

$7,500 unfavorable.

$4,500 favorable.

Question 47

The standard rate of pay is $20 per direct labor hour. If the actual direct labor payroll was $117,600 for 6,000 direct labor hours worked, the direct labor price (rate) variance is

Group of answer choices

$2,400 favorable.

$3,000 favorable.

$2,400 unfavorable.

$3,000 unfavorable.

Question 48

Clark Company manufactures a product with a standard direct labor cost of two hours at $18.00 per hour. During July, 2,000 units were produced using 4,200 hours at $18.30 per hour. The labor quantity variance was

Group of answer choices

$2,460 Unfavorable.

$3,660 Favorable.

$3,660 Unfavorable.

$3,600 Unfavorable.