Strong Manufacturing the Following Information Is Available for Strong Manufacturing

question 200

Multiple Choice

Strong Manufacturing The following information is available for Strong Manufacturing Company for the month of June when the company produced 2,100 units:
$\begin{array}{ll}\text { Standard: }\\\text { Material } & 2 \text { pounds per urit } @ \$ 5.80 \text { per pound } \\\text { Labor } & 3 \text { direct labor hours per urit @ } \$ 10.00 \text { per hour }\\\\\text { Actual: }\\\text { Material } & 4,250 \text { pounds purchased and used @ } \$ 5.65 \text { per pound } \\\text { Labor } & 6,300 \text { directlabor hours at } \$ 9.75 \text { per hour }\end{array}$ Refer to Strong Manufacturing Company.What is the material price variance?

• A)$637.50 U
• B)$637.50 F
• C)$630.00 U
• D)$630.00 F

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Definitions:

Interest Rates

The amount charged by lenders to borrowers for the use of assets, expressed as a percentage of the principal, and typically noted on an annual basis.

Excess Return

The return on an investment over the risk-free rate or over an investment's benchmark.

Rapid Growth

Rapid Growth refers to a significant and faster-than-average increase in the size, revenue, or market share of a company or economy.

Economy

The large system that encompasses all production, exchange, distribution, and consumption of goods and services within a certain area. It involves activities and interactions among individuals, businesses, and governments.