Stench Foods Corporation Uses a Standard Cost System to Collect

question 117

Multiple Choice

Stench Foods Corporation uses a standard cost system to collect costs related to the production of its garlic flavored yogurt. The garlic (materials) standards for each container of yogurt produced are 0.8 ounces of crushed garlic at a standard cost of $2.30 per ounce.
During the month of June, Stench purchased 75,000 ounces of crushed garlic at a total cost of $171,000. Stench used 64,000 of these ounces to produce 71,500 containers of yogurt.
The direct materials purchases variance is computed when the materials are purchased.


-What is Stench's materials price variance for June?

• A)$1,500 Favorable
• B)$15,640 Unfavorable
• C)$17,250 Favorable
• D)$23,800 Favorable

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Definitions:

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Individuals who have legally ended their marriage or partnership, which involves the separation of a child's guardians or primary caregivers into two distinct households.

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The act of marrying again after being divorced or widowed.

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A marital practice in which a person has more than one spouse simultaneously, not widely legal or socially accepted in many cultures.

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Partnerships between individuals of the same sex who live together in a domestic setting without being legally married.