During June, 16,000 Pounds of Materials Were Purchased at a Cost

question 43

Multiple Choice

During June, 16,000 pounds of materials were purchased at a cost of $6 per pound. If there was a favorable direct materials price variance of $3,000 in June, the standard cost per pound must be _____. (Round to two decimal places.)

• A)$6.19
• B)$5.81
• C)$6.00
• D)$0.19

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Definitions:

Non-discriminating Monopolist

A monopolist who charges a single price for all units of output sold, unlike price-discriminating monopolists who charge different prices.

Marginal Revenue

It refers to the additional income earned from selling one more unit of a good or service.

Demand Schedule

A table that lists the quantity of a good or service that consumers are willing to buy at various prices.

Total Revenue Schedule

A table or graph that shows the total revenue a firm can expect to receive at various levels of output, assuming a constant price.