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The standard cost of Product B manufactured by MIT Company includes 3.40 units of direct materials at $5.60 per unit. During June, 26,700 units of direct materials are purchased at a cost of $5.45 per unit, and 26,700 units of direct materials are used to produce 7,800 units of Product B.
Compute the total materials variance and the price and quantity variances.
Total materials Variance
Materials price variance
Materials quantity variance
Compute the total materials variance and the price and quantity variances, assuming the purchase price is $5.73 and the quantity purchased and used is 26,600 units.
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multiple choice questions based on share valuation.1.nbspuse the following information to answer this questionnagen
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