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Harmon Household Products, Inc., manufactures a number of consumer items for general household use. One of these products, a chopping board, requires an expensive hardwood. During a recent month, the company manufactured 4,000 chopping boards using 11,000 board feet of hardwood. The hardwood cost the company $18,700.
The company's standards for one chopping board are 2.5 board feet of hardwood, at a cost of $1.80 per board foot.
Break down the difference computed in (1) above into a materials price variance and a materials quantity variance.
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