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Home Q & A Board Other Fields Homework Help Business Economics
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ruskin ruskin
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Posts: 664
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6 years ago
What are the direct materials quantity variances for the wet and dry ingredients respectively?
A) $120 favourable/$540 unfavourable
B) $90 favourable/$720 unfavourable
C) $2,880 favourable/$2,610 unfavourable
D) $120 unfavourable/$540 favourable
E) $90 unfavourable/$720 favourable
Textbook 
Cost Accounting: A Managerial Emphasis, Canadian Edition

Cost Accounting: A Managerial Emphasis, Canadian Edition


Edition: 7th
Authors:
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wrote...
#1
6 years ago
A
Explanation:  A) Wet ingredients:
((230 batches × 2 units/batch) × $12) - (450 units × $12) = $120 favourable

Dry ingredients:
((230 batches × 3 units/batch) × $9) - (750 units × $9) = $540 unfavourable
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