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fabz06 fabz06
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4 months ago
In June, Indigo Manufacturing purchased 6,000 gallons of blue dye used to produce stone-washed denim clothing. The price per gallon was $1.24 and the company used 5,400 gallons of the dye during the month to produce 42,660 yards of dyed denim fabric. The standard allows for 8 yards of fabric per gallon of dye. The standard price for the dye is $1.26. What is the materials quantity variance for Indigo for June?

▸ $85.05 unfavorable

▸ $108 unfavorable

▸ $108 favorable

▸ $85.05 favorable
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Managerial Accounting

Managerial Accounting


Edition: 4th
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hemmatmahdi12hemmatmahdi12
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$85.05 unfavorable

$1.26 × [(42,660 ÷ 8) - 5,400] = $85.05 unfavorable
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fabz06 Author
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4 months ago
You make an excellent tutor!
sakoon
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Yesterday
this is exactly what I needed
Jadakiss
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2 hours ago
Thanks
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