The Standards for Product F28 Call for 2

question 8

Essay

The standards for product F28 call for 2.7 pounds of a raw material that costs $16.50 per pound. Last month, 4,100 pounds of the raw material were purchased for $70,520. The actual output of the month was 1,300 units of product F28. A total of 3,500 pounds of the raw material were used to produce this output.
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.)

Recognize the role of social psychology in addressing practical and social problems.

Appreciate the importance of intervention strategies in applied social psychology.

Understand the influence of social situations and individual differences on behavior.

Identify the contributions of key figures and historical perspectives in applied social psychology.

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Definitions:

Average Total Cost

The sum of all production costs (both fixed and variable) divided by the amount of product made.

ISO Quality Standards

A series of frameworks and guidelines established by the International Organization for Standardization to help companies ensure their products and services meet customer and regulatory requirements.

Total Quality Management

An extensive management approach focused on continuously improving the quality of products and services to achieve customer satisfaction.

Regulatory Standards

Established rules and specifications issued by regulatory agencies that businesses must comply with to ensure safety, quality, and fairness.