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Sandhill Manufacturing Company purchased 18200 switches to make 8100 units. The standard allows for 2 switches per unit. The company actually used 16700 to produce
Sandhill Manufacturing Company purchased 18200 switches to make 8100 units. The standard allows for 2 switches per unit. The company actually used 16700 to produce the 8100 units. Sandhill budgeted $ 0.90 per switch, but because they received a discount for purchasing more than 12100 switches, they received a discount of $ 0.05 per switch and paid $ 0.85 each. What is Sandhills direct materials quantity variance for the period?
$ 1350 favorable
$ 450 favorable
$ 1800 favorable
$ 450 unfavorable
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