Based on the Following Information, Calculate the Direct Materials Quantity

question 39

Multiple Choice

Based on the following information, calculate the direct materials quantity variance. $$\begin{array} { l l } \text { Actual quantity } & 2,500 \text { pounds at } \$ 6.00 \\\text { Standard quantity } & 2,900 \text { pounds at } \$ 5.50\end{array}$$ ?

• A) $2,250 unfavorable
• B) $2,200 favorable
• C) $2,500 favorable
• D) $2,700 unfavorable

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Definitions:

Periodic Variable

A variable that changes at regular intervals over time, often used in the analysis of time series data.

Measured

Evaluated or quantified in terms of extent, dimensions, quantity, or capacity.

Flow Variable

A variable that is measured over a specific period of time, such as income or expenditure, which may change from one period to the next.

Federal Government

The national government of a federal state, which holds the authority to govern on matters that affect the entire country, differentiated from state or local governments.