The Following Data Relate to Logan Corporation's Only Product: Direct

question 27

Multiple Choice

The following data relate to Logan Corporation's only product: Direct material standard: 4 square feet at $1.50 per square foot
Direct material purchased: 20,000 square feet at $1.60 per square foot
Direct material consumed: 19,200 square feet
Manufacturing activity: 4,600 units completed
The direct-material price variance is:

• A)$1,920F.
• B)$1,920U.
• C)$2,000F.
• D)$2,000U.
• E)$2,880U.

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Definitions:

Atmospheric Pressure

The pressure exerted by the weight of the atmosphere above a point, affecting weather patterns and boiling temperatures of liquids.

Sea Level

The average height of the ocean's surface between high and low tide; used as a standard base for measuring elevations.

Inches Hg

A unit of pressure measurement equivalent to inches of mercury, commonly used in aviation and weather forecasting.

Fluids

Substances that have no fixed shape and yield easily to external pressure; can be liquids, gases, or plasmas.