Question
Using the information from the table, what is the selling price variance? Please enter a positive number for your answer. You are not required to
Using the information from the table, what is the selling price variance? Please enter a positive number for your answer. You are not required to indicate whether the variance is favorable or unfavorable.
Budgeted direct materials (standard) (5 lbs @ $2/lb): $10/unit
Actual direct materials used: 500,000 lbs.
Actual units: 110,000 units
Actual cost of direct materials used: $1,250,000
Budgeted direct labor (standard) (2 hours @ $10/hour): $20/unit
Actual direct labor hours: 225,000 hours
Actual cost of direct labor: $2,700,000
Budgeted units: 100,000
Budgeted selling price: $50
Actual selling price: $65
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