Reference: 21_01
Five Rings, Inc, Has Collected the Following Data

question 128

Multiple Choice

Reference: 21_01
Five Rings, Inc, has collected the following data on one of its products:
$\begin{array}{ll}\text { Direct materials standard (4 lbs. @ \$1/lb.) } & \$ 4 \text { per finished unit } \\\text { Total direct materials cost variance-unfavorable } & \$ 13,750 \\\text { Actual direct materials used } & 150,000 \mathrm{lbs} . \\\text { Actual finished units produced } & 30,000 \text { units }\end{array}$
-The actual cost of the direct materials used is:

• A) $133,750
• B) $150,000
• C) $106,250
• D) $158,750
• E) $120,000

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Definitions:

Correlational Research

A type of research methodology that aims to determine the degree to which two or more variables are related without manipulation by the researcher.

Cause-Effect

A relationship where one event (the cause) makes another event happen (the effect), indicating a connection between actions or occurrences.

Experimentation

The act of conducting a controlled test or investigation to explore a hypothesis or examine the effects of variables.

Correlated

When two or more variables are related in some way, with changes in one variable associated with changes in another.