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The following data are given for Stringer Company: Budgeted production 958 units Actual production 1,085 units Materials: Standard price per ounce $1.91 Standard ounces per
The following data are given for Stringer Company:
Budgeted production | 958 units |
Actual production | 1,085 units |
Materials: | |
Standard price per ounce | $1.91 |
Standard ounces per completed unit | 12 |
Actual ounces purchased and used in production | 13,411 |
Actual price paid for materials | $27,493 |
Labor: | |
Standard hourly labor rate | $14.03 per hour |
Standard hours allowed per completed unit | 4.6 |
Actual labor hours worked | 5,587.75 |
Actual total labor costs | $85,213 |
Overhead: | |
Actual and budgeted fixed overhead | $1,153,000 |
Standard variable overhead rate | $28.00 per standard labor hour |
Actual variable overhead costs | $156,457 |
Overhead is applied on standard labor hours. |
Do not round interim calculations. Round your final answer to the nearest dollar.
The direct materials price variance is?
a.$4,694 favorable
b.$1,878 unfavorable
c.$4,694 unfavorable
d.$1,878 favorable
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