During April, 80,000 Units of Product Were Produced

question 57

Multiple Choice

During April, 80,000 units of product were produced. The standard quantity of material allowed per unit was two pounds at a standard cost of £5 per pound. If there was a favourable materials usage variance of £40,000 for April, the actual quantity of materials used must have been

• A)168,000 pounds.
• B)152,000 pounds.
• C)84,000 pounds.
• D)76,000 pounds.

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