Fletcher Company Collected the Following Data Regarding Production of One

question 116

Multiple Choice

Fletcher Company collected the following data regarding production of one of its products. Compute the direct materials quantity variance. $$\begin{array} { l rl} \text { Direct materlals stardard (6lbs. @ \$2/16.) } & \$ 12 & \text { per finished unit } \\\text { Actual direct materials used } & 243,000 & \text { lbs. } \\\text { Actual finished units produced } & 40,000 & \text { units }\\\text { Actual cost of direct materials used}&\$483,570\\\end{array}$$

• A) $2,430 unfavorable.
• B) $3,570 unfavorable.
• C) $2,430 favorable.
• D) $6,000 unfavorable.
• E) $3,570 favorable.

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