The Hershey Company is an American multinational company and one of the largest chocolate manufacturers in the wond The Hershey candy bars favorite product. Hershey's management has established the following standards . Materials: 12 ounces per unit at 600 per ounce Labor: 2 hours per unit at $8 per hour, During the month of December, the company produced 1,000 units. Information for the month follows: Materials: 14,000 ounces purchased and used at a total cost of $7700 Labor: 2,500 hours worked at a total cost of $20,625. The materials quantity variance is: - Material Price Variance - (AP-SP) AQP AP = actual price per unit of material SP = standard price per unit of material AQP = actual quantity of material purchased Material Quantity Varlance = (AQU-SQ) SP AQU = actual quantity of material used SQ = standard quantity of material for the actual level of production SP = standard price per unit of material