Exeter Has a Material Standard of 1 Pound Per Unit

question 61

Multiple Choice

Exeter has a material standard of 1 pound per unit of output.Each pound has a standard price of $26 per pound.During July,Exeter paid $66,100 for 2,475 pounds,which they used to produce 2,350 units.What is the direct materials quantity variance?

• A)$1,750 unfavorable
• B)$1,300 favorable
• C)$3,250 unfavorable
• D)$4,550 unfavorable

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Definitions:

Taboo

A norm ingrained so deeply that even thinking about violating it evokes strong feelings of disgust, horror, or revulsion.

Sanctions

Positive or negative reactions to the ways that people follow or disobey norms, including rewards for conformity and punishment for violations.

Norms

Social rules or standards that dictate expected behaviors within a group or society.

Sapir-Whorf Hypothesis

A theory suggesting that the structure of a language influences its speakers' perception and categorization of the world, potentially affecting their thought processes and worldview.