The Charger Company Makes Tables and the Following Standards Have

question 52

Multiple Choice

The Charger Company makes tables and the following standards have been developed: Production of 230 tables was expected in July,but 250 tables were actually completed.Direct materials purchased and used were 2,200 pounds at an actual price of $4.50 per pound.Direct labor cost for the month was $10,620,and the actual pay per hour was $18.00.What is the direct material price variance for July?

• A)$800 Favorable
• B)$800 Unfavorable
• C)$1,100 Favorable
• D)$1,100 Unfavorable

---

Definitions:

Pay To The Order

A phrase written on a financial instrument such as a check, indicating the person or entity to which the money is directed.

Bank

A financial institution licensed to receive deposits and make loans, and may offer various other financial services.

Negotiable

Capable of being discussed and terms arranged; a check is a negotiable instrument drawn against deposited funds to pay a specified amount to a person or business upon demand.

Form Of Phrase

The particular way in which a phrase is constructed or expressed.