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Q1) Information on Rex Co.'s direct material costs for May follows:

 

Actual quantity of direct materials 30,000 pounds
Actual cost of direct materials....................................... $84,000as  
Unfavorable direct materials quantity variance............ $3,000  
Standard quantity of direct materials ........................... 29,000 pounds

 

For month of May, compute Rex's direct materials price variance?

 

A) $2,800 favorable

 

B) $2,800 unfavorable

 

C) $6,000 Unfavorable

 

D) $6,000 favorable

Accounting Basics, Accounting

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  • Reference No.:- M921515

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