Answered

Welcome to Westonci.ca, the Q&A platform where your questions are met with detailed answers from experienced experts. Explore comprehensive solutions to your questions from knowledgeable professionals across various fields on our platform. Discover detailed answers to your questions from a wide network of experts on our comprehensive Q&A platform.

The standard amount of materials required to make one unit of Product Q is 4 pounds. Tusa's static budget showed a planned production of 6,200 units. During the period, the company actually produced 6,300 units of product. The actual amount of materials used averaged 3.9 pounds per unit. The standard price of material is $2 per pound. Based on this information, the materials usage variance was:\

Sagot :

Parrain

Answer: $1,260 Favorable

Explanation:

Material usage variance = (Standard quantity of materials actually produced - Actual quantity of materials actually produced) * Standard price of material

= [ ( 4 * 6,300 ) - (3.9 * 6,300) ] * 2

= [ 25,200 - 24,570 ] * 2

= 630 * 2

= $1,260 Favorable

We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. Thank you for visiting Westonci.ca, your go-to source for reliable answers. Come back soon for more expert insights.