Materials Quantity Variance 39. The standard usage for raw materials is 5 pounds at $4.00 per pound.
ABC Company spent $13,940 in purchasing 3,400 pounds. ABC used 3,150 pounds to produce 600 units
of finished product. The material quantity variance is (E) a. $340 unfavorable. c. $600 unfavorable. b.
$400 unfavorable. d. $1,340 unfavorable. D, L & H 9e 36. Home Company manufactures tables with vinyl
tops. The standard material cost for the vinyl used per Type-R table is $7.80 based on six square feet of
vinyl at a cost of $1.30 per square foot. A production run of 1,000 tables in January resulted in usage of
6,400 square feet of vinyl at a cost of $1.20 per square foot, a total cost of $7,680. The quantity variance
resulting from the above production run was: (E) A. $120 favorable. C. $520 unfavorable. B. $480
unfavorable. D. $640 favorable. G & N 10e 38 . A company uses a standard cost system to account for its
only product. The materials standard per unit was 4 lbs. at $5.10 per lb. Operating data for April were as
follows: Material used 7,800 lbs. Cost of material used $40,950 Number of finished units produced 2,000
The material usage variance for April was: (E) A. $1,020 favorable C. $1,170 unfavorable B. $1,050
favorable D. $1,200 unfavorable CIA adapted 41. During March, Younger Company's direct material
costs for product T were as follows: Actual unit purchase price $6.50 per meter Standard quantity
allowed for actual production 2,100 meters Quantity purchased and used for actual production 2,300
meters Standard unit price $6.25 per meter Younger's material quantity variance for March was: (E) a.
$1,250 unfavorable. c. $1,300 unfavorable. b. $1,250 favorable. d. $1,300 favorable. AICPA adapted 42.
The following materials standards have been established for a particular product: Standard quantity per
unit of output .. 1.7 meters Standard price ........................ $19.80 per meter The following data pertain
to operations concerning the product for the last month: Actual materials purchased ............ 5,800
meters Actual cost of materials purchased .... $113,680 Actual materials used in production ... 5,100
meters Actual output ......................... 3,200 units What is the materials quantity variance for the month?
(E) a. $13,720 U c. $13,860 U b. $6,732 F d. $6,664 F G & N 9e 39. The following materials standards
have been established for a particular product: Standard quantity per unit of output 4.6grams Standard
price $15.05 per gram The following data pertain to operations concerning the product for the last
month: Actual materials purchased 3,100 grams Actual cost of materials purchased $44,020 Actual
materials used in production 2,400 grams Actual output 300 units What is the materials quantity
variance for the month? (E) A. $9,940 U C. $14,484 U B. $15,351 U D. $10,535 U G & N 10e Direct
Materials Price Variance 39 . ChemKing uses a standard costing system in the manufacture of its single
product. The 35,000 units of raw material in inventory were purchased for $105,000, and two units of
raw material are required to produce one unit of final product. In November, the company produced
12,000 units of product. The standard allowed for material was $60,000, and there was an unfavorable
quantity variance of $2,500. The materials price variance for the units used in November was (M) a.
$2,500 unfavorable. c. $12,500 unfavorable. b. $11,000 unfavorable. d. $3,500 favorable. CMA 1293 3-
24 39. Information on Fleming Company's direct material costs follows: Actual amount of direct
materials used ...... 20,000 pounds Actual direct material costs ................ $40,000 Standard price of
direct materials .......... $2.10 per pound Direct material efficiency variance--favorable $3,000 What was
the company's direct material price variance? (M) a. $1,000 favorable. c. $2,000 favorable. b. $1,000
unfavorable. d. $2,000 unfavorable. AICPA adapted CMA EXAMINATION QUESTIONS Page 13 of
138MANAGEMENT ADVISORY SERVICES STANDARD COSTS AND VARIANCE ANALYSIS *. Information on
the direct material costs of Bernal Manufacturing Corp. is as follows: Actual direct material costs P
44,000 Actual units of direct material used 22,000 Standard price per unit of direct material P2.20 Direct
material efficiency variance-unfavorable P2,800 What was Bernal’s direct material price variance? (M) a.
P4,400 favorable. c. P5,600 favorable. b. P4,400 unfavorable. d. P5,600 unfavorable. RPC
