Epley Corporation Makes a Product with the Following Standard Costs

question 23

Multiple Choice

Epley Corporation makes a product with the following standard costs: In July the company produced 3, 300 units using 12, 240 pounds of the direct material and 2, 760 direct labor-hours.During the month, the company purchased 13, 000 pounds of the direct material at a cost of $35, 100.The actual direct labor cost was $51, 612 and the actual variable overhead cost was $20, 148. The company applies variable overhead on the basis of direct labor-hours.The direct materials purchases variance is computed when the materials are purchased.
The materials price variance for July is:

• A)$3, 465 U
• B)$3, 900 F
• C)$3, 465 F
• D)$3, 900 U

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Definitions:

Directional Selection

A form of natural selection in which individuals with traits on one end of the spectrum are more likely to survive and reproduce, leading to an overall shift in the population.

Stabilizing Selection

An evolutionary process that favors the average variants in a population, leading to a decrease in diversity for the trait in question.

Disruptive Selection

Disruptive selection favors individuals at the tails of the distribution of phenotypes present in a population (for example, by acting against individuals with intermediate trait values).

Stalk-Eyed Flies

A group of flies known for having long protrusions from the sides of their heads, bearing the eyes and antennae, a trait believed to be sexually selected.