A Company Developed the Following Per Unit Materials Standards for Its

question 6

Multiple Choice

A company developed the following per unit materials standards for its product: 3 pounds of direct materials at $5 per pound. If 12000 units of product were produced last month and 37500 pounds of direct materials were used the direct materials quantity variance was

• A) $4500 favorable.
• B) $7500 unfavorable.
• C) $4500 unfavorable.
• D) $7500 favorable.

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Definitions:

Primary Category

The main or first-level classification used in sorting and organizing data, objects, or concepts.

Diversity

The inclusion of individuals with a variety of characteristics, such as race, gender, age, religion, cultural background, and more, within a group or organization.

Marital Status

A legal term used to describe the formal recognition of a person's relationship in society, such as single, married, divorced, or widowed.

Secondary Category

A classification level below the primary category, used to further organize, differentiate, or specify items within a larger grouping or system.