In Command Ltd Completed Operations for the Week and the Accountant

question 141

Multiple Choice

In Command Ltd completed operations for the week and the accountant was preparing to make journal entries necessary to prepare a set of interim financial statements. Unfortunately, he discovered some of the data concerning direct materials had been lost. He was able to find the following: $$\begin{array} { l l } \text { Efficiency variance } & \$ 9,000 \text { Unfavourable } \\\text { Stardard price } & \$ 10 \text { per urit } \\\text { Actual units purchased } & 18,000 \\\text { Inventory decrease } & 1,000 \text { units } \\\text { Budget variance } & \$ 1,800 \text { Favourable }\end{array}$$ The actual direct materials price paid per unit was:

• A) $9.60
• B) $9.40
• C) $10.00
• D) $10.60

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