Question

Dell has a standard usage of 1 pound direct materials. Direct materials have a standard price of $26 per pound. In April, Dell produced 4,790 units and paid $142,000 for 5,030 pounds direct materials. Calculate the direct materials quantity variance.

Answer 1

the direct material quantity variance is $6,240 unfavorable

Step-by-step explanation:

The computation of the direct material quantity variance is shown below:

The direct material quantity variance is

= (Actual quantity - standard quantity) × standard price

= (5,030 pounds - 4,790 pounds) × $26

= $6,240 unfavorable

Hence, the direct material quantity variance is $6,240 unfavorable

The same would be considered and relevant