Question
Sitka Industries uses a cost system that carries direct materials inventory at a standard cost. The controller has established these standards for one ladder (unit):
Sitka Industries uses a cost system that carries direct materials inventory at a standard cost. The controller has established these standards for one ladder (unit): Sitka Industries cost standards Standard Quantity Standard Price Direct materials 2 pounds $4.09 per pound Direct labor 3.25 hours $12.79 per hour Sitka Industries made 2,818 ladders in July and used 8,430 pounds of material to make these units. Smith Industries bought 17,945 pounds of material in the current period. There was a $210 unfavorable direct materials price variance. What is the total direct materials cost variance? Round to the nearest whole dollar, no decimals. If it is an unfavorable variance, enter a positive number. If is a favorable variance, enter a negative number using a - dash not parentheses.
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