Copper Company reports the following standards for direct materials for the year:
Standard cost per kilogram $2.50
Standard amount per finished good 6 kilograms
During the year, 420,000 finished goods were produced. The direct materials price variance was $13,600 unfavourable. The direct materials flexible budget variance was $1,200 favourable. The quantity of direct materials purchased was the same as the amount used.
Calculate the following items regarding direct materials for Douglas Corporation for the year:
1. Direct materials efficiency variance
2. Standard quantity of direct materials for actual production
3. Actual kilograms of direct materials used for actual production

Question

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The Answer of Copper Company reports the following standards for direct materials for the year:
Standard cost per kilogram $2.50
Standard amount per finished good 6 kilograms
During the year, 420,000 finished goods were produced. The direct materials price variance was $13,600 unfavourable. The direct materials flexible budget variance was $1,200 favourable. The quantity of direct materials purchased was the same as the amount used.
Calculate the following items regarding direct materials for Douglas Corporation for the year:
1. Direct materials efficiency variance
2. Standard quantity of direct materials for actual production
3. Actual kilograms of direct materials used for actual production

Copper Company Reports the Following Standards for Direct Materials for the Year