AAA Export Company's actual production for March is 1,000 units.The standard cost for raw material #123 is $72 per unit consisting of 6 pounds per unit at $12 per pound.The actual cost for raw material #123 in March amounted to $71.50 per unit consisting of 6.5 pounds per unit at $11 per pound.The resulting budget variance for raw material #123 in March was therefore $500 F (1,000 units × ($72.00 − $71.50). What amount of AAA Exports' $500 F budget variance in March is attributable to the cost per pound of raw material #123?

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The Answer of AAA Export Company's actual production for March is 1,000 units.The standard cost for raw material #123 is $72 per unit consisting of 6 pounds per unit at $12 per pound.The actual cost for raw material #123 in March amounted to $71.50 per unit consisting of 6.5 pounds per unit at $11 per pound.The resulting budget variance for raw material #123 in March was therefore $500 F (1,000 units × ($72.00 − $71.50). What amount of AAA Exports' $500 F budget variance in March is attributable to the cost per pound of raw material #123?

AAA Export Company's Actual Production for March Is 1,000 Units