Reenu Company manufactures wigs out of used dental floss. The variable cost standards for wig production developed by Reenu are as follows: Variable overhead at Reenu is based on direct labor-hours. The actual results for the month of October were as follows:
-What is Reenu's materials quantity variance for October?

Question

Reenu Company manufactures wigs out of used dental floss. The variable cost standards for wig production developed by Reenu are as follows:  Variable overhead at Reenu is based on direct labor-hours. The actual results for the month of October were as follows: 
-What is Reenu's materials quantity variance for October?

Quizplus · Accepted Answer

Reenu's materials quantity variance for October is $2,660 unfavorable. This is because the actual quantity of materials used was greater than the standard quantity of materials allowed, resulting in an unfavorable variance.

Reenu Company Manufactures Wigs Out of Used Dental Floss