Final answer:
The materials price variance is calculated by subtracting the standard cost from the actual cost, resulting in a $600 unfavorable variance, indicating that the firm spent more on materials than the standard cost.
Step-by-step explanation:
The materials price variance for the situation where the standard for direct materials for product A is 6 square feet at $10 per square foot and if a firm produces 100 units of product A and uses 600 square feet at $11 per square foot can be calculated as follows:
Standard Cost = Standard quantity × Standard price = 600 square feet × $10 per square foot = $6,000.
Actual Cost = Actual quantity × Actual price = 600 square feet × $11 per square foot = $6,600.
Materials Price Variance = Actual Cost - Standard Cost = $6,600 - $6,000 = $600 unfavorable.
Therefore, the materials price variance is $600 unfavorable, meaning the firm spent $600 more on materials than the standard cost.