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The Actual Cost of Direct Materials Is $11

Question 113

Multiple Choice

The actual cost of direct materials is $11.70 per pound.The standard cost per pound is $11.50.During the current period,8,200 pounds of direct materials were used in production and 18,300 pounds were purchased.The standard quantity of direct materials for actual units produced is 18,100 pounds.How much is the direct materials efficiency variance?


A) $113,850 favorable
B) $115,830 favorable
C) $115,830 unfavorable
D) $113,850 unfavorable

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