The Russell Company Provides the Following Standard Cost Data Per

question 98

Multiple Choice

The Russell Company provides the following standard cost data per unit of product: $\begin{array}{lrr} \text {Direct material (3 gallons @ \$6 per gallon) } &\$18.00\\ \text {Direct labor (2 hours@\$10per hour) } &\$20.00\\\end{array}$

During the period,the company produced and sold 22,000 units,incurring the following costs:
$\begin{array}{llll}\text { Direct material } & 68,00 \text { Cgallons } & @ & \$ 5.90 \text { per gallon } \\\text { Direct labor } & 45,500 \text { hours } & @ & \$ 9.75 \text { per hour }\end{array}$


The direct material price variance was:

• A) $6,600 unfavorable.
• B) $6,600 favorable.
• C) $6,800 unfavorable.
• D) $6,800 favorable.

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Definitions:

Distributive Justice

A principle concerning the fair and equitable distribution of resources and benefits among individuals or groups.

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Physical representations that stand for or symbolize something else, often embodying values or meanings.

Time Power

The influence or control one gains by having the ability to manipulate or allocate time, often impacting decision-making processes or outcomes.

Intricate Watches

Timepieces that display a high level of detail and complexity, often featuring multiple functions beyond just telling time.