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Dorsey Corporation Company Budgeted 600 Pounds of Direct Materials Costing

Question 56

Multiple Choice

Dorsey Corporation Company budgeted 600 pounds of direct materials costing $28.00 per pound to make 7,000 units of product.The company actually used 630 pounds of direct materials costing $30.00 per pound to make the 7,000 units.What is the direct materials quantity variance?


A) $900 favorable
B) $840 favorable
C) $900 unfavorable
D) $840 unfavorable

Correct Answer:

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