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Sun Devil Corporation makes a product that uses a material with the quantity standard of 73 grams per unit of output and the price standard
Sun Devil Corporation makes a product that uses a material with the quantity standard of 73 grams per unit of output and the price standard of $6.00 per gram. In January the company produced 3,400 units using 24,870 grams of the direct material. During the month the company purchased 27400 grams of the direct material at $6.10 per gram. The direct materials purchases variance is computed when the materials are purchased The materials price variance for January is: O a $2,482 F Ob $2,740 F OC $2,482 U Od $2,740 U
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