The Following Data Relate to Direct Materials Costs for February

question 6

Multiple Choice

The following data relate to direct materials costs for February:
Materials cost per yard: standard, $2.00; actual, $2.10
Standard yards per unit: standard, 4.5 yards; actual, 4.75 yards
Units of production: 9,500
Calculate the direct materials price variance.

• A) $1,795.50 favorable
• B) $378.00 favorable
• C) $4,512.50 unfavorable
• D) $378.00 unfavorable

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Definitions:

Dynamic Address

A changing IP address assigned by an internet service provider to a device each time it connects to the internet.

IP Address

A unique string of numbers separated by periods that identifies each device using the Internet Protocol to communicate over a network.

Circuit Switching

A method of communication where a dedicated channel or circuit is established for the duration of a transmission between two endpoints.

PGP

Pretty Good Privacy, an encryption program that provides cryptographic privacy and authentication for data communication.