The Following Standards Have Been Established for a Raw Material

question 6

Essay

The following standards have been established for a raw material used in the production of product U98:

$\begin{array}{|l|r|l|}\hline \begin{array}{l}\text { Standard quantity of the material per } \\\text { unit of output }\end{array} & 2.6 & \text { pounds } \\\hline \text { Standard pric e of the material } & \$ 14.50 & \begin{array}{l}\text { per } \\\text { pound }\end{array} \\\hline\end{array}$ The following data pertain to a recent month's operations: $$\begin{array} { | l | r | l | } \hline \text { Actual material purchased } & 7,600 & \text { Pounds } \\\begin{array} { l } \text { Actual cost of material } \\\text { purchased }\end{array} & \$ 110,960 & \\\hline \begin{array} { l } \text { Actual material used in } \\\text { production }\end{array} & 7,300 & \text { Pounds } \\\hline \text { Actual output } & 2,800 & \begin{array} { l } \text { units of product } \\\text { U98}\end{array} \\\hline\end{array}$$ Required:
a.What is the materials price variance for the month?
b.What is the materials quantity variance for the month?
c.Prepare journal entries to record the purchase and use of the raw material during the month.(All raw materials are purchased on account. )

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Definitions:

Traits

Relatively stable patterns of thought, feeling, or behavior that characterize an individual.

States

Temporary patterns of thought, feeling, or behavior.

Walter Mischel

A psychologist known for his research on personality theory and cognitive psychology, including the famous Marshmallow Test related to delayed gratification.

Circumstances

A condition or fact that affects a situation, often used in reference to the specific details or context surrounding an event or decision-making process.