Question
The following information is available for Geek Manufacturing Company. -- Direct materials price standard is $4.50 per pound. -- Direct materials quantity standard is seven
The following information is available for Geek Manufacturing Company. -- Direct materials price standard is $4.50 per pound. -- Direct materials quantity standard is seven pounds per finished unit. -- Budgeted production is 25,000 finished units. -- 200,000 pounds of direct materials were purchased for $925,000. -- 200,000 pounds of direct materials were used in production. -- 25,600 finished units of product were produced. What is the direct materials price variance? A) $25,000 Unfavorable B) $25,000 Favorable C) $350,000 Unfavorable D) $350,000 Favorable
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