Epley Corporation Makes a Product with the Following Standard Costs

question 25

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 quantity variance for July is:

• A)$2,070 F
• B)$2,070 U
• C)$1,863 F
• D)$1,863 U

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Definitions:

Shape Style

Preset visual properties applied to shapes in graphic design software, including borders, fills, and effects.

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The feature in graphics software that allows users to fill the interior of a shape with color, patterns, or textures.

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The exterior line or edge that defines the boundary of a shape in graphic design, presentations, or documents, often customizable in color, width, and style.

Text Wrapping

A feature in word processing and graphic design software that allows text to flow around pictures, shapes, or other objects in a document.