A Company Has Established 5 Pounds of Material J at $2

question 76

Multiple Choice

A company has established 5 pounds of Material J at $2 per pound as the standard for the material in its Product Z. The company has just produced 1,000 units of this product, using 5,200 pounds of Material J that cost $9,880.The direct materials price variance is:

• A) $120 favorable.
• B) $520 unfavorable.
• C) $400 favorable.
• D) $520 favorable.
• E) $400 unfavorable.

---

Definitions:

Check Box

A graphical user interface element that permits the user to make a binary choice, typically yes/no or true/false.

Subtotal

A mathematical function or formula used to sum up a group of numbers, often used in data analysis and accounting.

Form Controls

User interface elements like buttons, checkboxes, and text fields that allow users to input or manipulate data in forms.

Border

A line or frame that surrounds an element in a document or graphic, defining its limits or separating it from others.