The following materials standards have been established for a particular product: The following data pertain to operations concerning the product for the last month: What is the materials quantity variance for the month?

Question

The following materials standards have been established for a particular product:  The following data pertain to operations concerning the product for the last month:  What is the materials quantity variance for the month?

Quizplus · Accepted Answer

SQ = 1.7 meters per unit × 3, 200 units = 5, 440 meters
Materials quantity variance = (AQ - SQ)× SP
= (5, 100 meters - 5, 440 meters)× $19.80 per meter
= (-340 meters)× $19.80 per meter
= $6, 732 F

The Following Materials Standards Have Been Established for a Particular