The actual cost of direct material was:

Question

Quizplus · Accepted Answer

Materials price variance = AQ × (AP - SP)
$8,400 F = 21,000 pounds × (AP - $8 per pound)
-$8,400 = 21,000 pounds × (AP - $8 per pound)
-$8,400 = (21,000 pounds × AP)- $168,000
21,000 pounds × AP = $168,000 - $8,400
21,000 pounds × AP = $159,600
AP = $159,600 ÷ 21,000 pounds = $7.60 per pound
Reference: CH09-Ref38
Leonesio Corporation makes a product that uses a material with the following standards: 
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The company budgeted for production of 3,100 units in August, but actual production was 3,200 units.The company used 27,600 kilos of direct material to produce this output.The company purchased 29,000 kilos of the direct material at a total cost of $118,900.The direct materials purchases variance is computed when the materials are purchased.

The Actual Cost of Direct Material Was