Summerlin Company Budgeted 4,000 Pounds of Material Costing $5

question 42

Multiple Choice

Summerlin Company budgeted 4,000 pounds of material costing $5.00 per pound to produce 2,000 units.The company actually used 4,500 pounds that cost $5.10 per pound to produce 2,000 units.What is the direct materials price variance?

• A)$400 unfavorable.
• B)$450 unfavorable.
• C)$2,500 unfavorable.
• D)$2,550 unfavorable.
• E)$2,950 unfavorable.

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