The following production information is available for January:
$\begin{array}{lrr}
\text { Actual Hours used } & 45,000 \
\text { Actual Rate per hour } & \$ 15 \
\text { Standard Rate per hour } & \$ 14 \
\text { Standard hours for units produced } & 47,000
\end{array}$
The direct materials price variance is:

Question

The following production information is available for January:
$\begin{array}{lrr}
\text { Actual Hours used } & 45,000 \
\text { Actual Rate per hour } & \$  15 \
\text { Standard Rate per hour } & \$  14 \
\text { Standard hours for units produced } & 47,000
\end{array}$
The direct materials price variance is:

Quizplus · Accepted Answer

The direct materials price variance is not directly calculable from the given information because it pertains to labor (actual hours, rate per hour, and standard hours) rather than materials. The provided data relates to labor costs and rates, not direct materials.

The Following Production Information Is Available for January The Direct Materials Price Variance Is: A)$28,000 Unfavorable B)$45,000 Unfavorable

The Following Production Information Is Available for January The Direct Materials Price Variance Is:
A)$28,000 Unfavorable
B)$45,000 Unfavorable