Dillon has a standard of 1.5 pounds of materials per unit at $6 per pound. In producing 2000 units Dillon used 3100 pounds of materials at a total cost of $18135. Dillon's materials quantity variance is

A) $135 F.
B) $465 U.
C) $600 U.
D) $1050 U.

Question

Jacari Saffold · Accepted Answer

Final Answer : C, Explanation :  The standard quantity of materials for producing 2000 units is calculated as follows:1.5 pounds per unit × 2000 units = 3000 poundsThe actual quantity of materials used was 3100 pounds, indicating a unfavorable variance of 100 pounds.The materials quantity variance can be calculated as follows:Materials quantity variance = (Standard quantity - Actual quantity) × Standard price= (3000 pounds - 3100 pounds) × $6 per pound = $600 U.Therefore, the correct answer is (C) $600 U.

Dillon has a standard of 1.5 pounds of materials per unit at $6 per pound. In producing 2000 units Dillon used 3100 pounds of materials at a total cost of $18135. Dillon's materials quantity variance is

A) $135 F.
B) $465 U.
C) $600 U.
D) $1050 U.

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Learning Objectives

Related questions

Dillon has a standard of 1.5 pounds of materials per unit at $6 per pound. In producing 2000 units Dillon used 3100 pounds of materials at a total cost of $18135. Dillon's materials quantity variance isA) $135 F.B) $465 U.C) $600 U.D) $1050 U.

Definitions

Learning Objectives

Learning Objectives

Related questions

Dillon has a standard of 1.5 pounds of materials per unit at $6 per pound. In producing 2000 units Dillon used 3100 pounds of materials at a total cost of $18135. Dillon's materials quantity variance is

A) $135 F.
B) $465 U.
C) $600 U.
D) $1050 U.