Melrose Corporation Makes a Product That Uses a Material with the Following

question 52

Multiple Choice

Melrose Corporation makes a product that uses a material with the following standards: The company budgeted for production of 5,800 units in September, but actual production was 5,900 units. The company used 50,210 pounds of direct material to produce this output. The company purchased 55,100 pounds of the direct material at $5.80 per pound. The direct materials purchases variance is computed when the materials are purchased.
The materials price variance for September is:

• A)$11,020 F
• B)$9,912 U
• C)$9,912 F
• D)$11,020 U

---

Definitions:

mRNA

Messenger RNA, a type of RNA that carries instructions from DNA in the nucleus to the ribosome, where proteins are synthesized.

5′ Cap

A modified form of guanine nucleotide added to the 5′ end of eukaryotic mRNA, important for mRNA stability and initiation of translation.

Degradation

The process by which a compound is broken down or decomposed, often into simpler substances, sometimes leading to a loss of quality or function.

mRNA

Messenger RNA (mRNA) is a type of RNA that carries genetic information from DNA to the ribosome, where it directs the synthesis of proteins.