Seraphine Corporation manufactures rhinestone-studded jewelry boxes. The following materials standards have been established for the rhinestones used to decorate the jewelry boxes.
The following data relates to the production of the jewelry boxes during June:

What is the materials price variance for rhinestones in June?

Question

Seraphine Corporation manufactures rhinestone-studded jewelry boxes. The following materials standards have been established for the rhinestones used to decorate the jewelry boxes.  
The following data relates to the production of the jewelry boxes during June:

What is the materials price variance for rhinestones in June?

Quizplus · Accepted Answer

A) Mat'l price var. = (Actual price per unit - Std price per unit) × Actual quantity
-$650 F = (($2,350 / 1200) - $2.50 ) × 1,200

Seraphine Corporation Manufactures Rhinestone-Studded Jewelry Boxes