Reference no: EM132541634

The following standards have been established for a raw material used to make product I92:

Standard quantity of the material per unit of output ... 4.5 pounds

Standard price of the material ..................................... $13.90 per pound

The following data pertain to a recent month's operations:

Actual material purchased ...................... 2,000 pounds

Actual cost of material purchased .......... $26,200

Actual material used in production ........ 1,300 pounds

Actual output .......................................... 220 units of product I92

Required:

Question a. What is the materials price variance for the month?

Question b. What is the materials quantity variance for the month?