Strong Manufacturing The following information is available for Strong Manufacturing Company for the month of June when the company produced 2,100 units:
$\begin{array}{ll}\text { Standard: }\
\text { Material } & 2 \text { pounds per urit } @ \$ 5.80 \text { per pound } \
\text { Labor } & 3 \text { direct labor hours per urit @ } \$ 10.00 \text { per hour }\\\text { Actual: }\
\text { Material } & 4,250 \text { pounds purchased and used @ } \$ 5.65 \text { per pound } \
\text { Labor } & 6,300 \text { directlabor hours at } \$ 9.75 \text { per hour }
\end{array}$ Refer to Strong Manufacturing Company.What is the material quantity variance?
A)$275 F
B)$290 F
C)$290 U
D)$275 U

Question

Quizplus · Accepted Answer

The material quantity variance is calculated as (Actual quantity - Standard quantity) x Standard price. In this case, the actual quantity is 4,250 pounds, the standard quantity is 2,100 units x 2 pounds per unit = 4,200 pounds, and the standard price is $5.80 per pound. Therefore, the material quantity variance is (4,250 - 4,200) x $5.80 = $290 U.

Strong Manufacturing the Following Information Is Available for Strong Manufacturing