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

question 373

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

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Definitions:

Personal Income Tax

A tax levied on individuals' earnings from wages, investments, and other sources.

Bottom Half

This term usually refers to the lower 50% of income earners in a given population.

Earners

Individuals or entities that receive income through work, investments, or any other source of revenue.