Compound Q11H is a raw material used to make Grater Corporation's major product. The standard cost of compound Q11H is $23 per ounce and the standard quantity is 3.8 ounces per unit of output. Data concerning the compound for October appear below: Cost of material purchased in October, per ounce $23.10 Material purchased in October, ounces 2,300 Material used in production in October, ounces 2,120 Actual output in October, units 600 The raw material was purchased on account. The Materials Price Variance for October would be recorded as a a. debit of $230 b. credit of $212 c. debit of $212 d. credit of $230

Compound Q11H is a raw material used to make Grater Corporation's major product. The standard cost of compound Q11H is $23 per ounce and the standard quantity is 3.8 ounces per unit of output. Data concerning the compound for October appear below: Cost of material purchased in October, per ounce $23.10 Material purchased in October, ounces 2,300 Material used in production in October, ounces 2,120 Actual output in October, units 600 The raw material was purchased on account. The Materials Price Variance for October would be recorded as a a. debit of $230 b. credit of $212 c. debit of $212 d. credit of $230

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 22E: Ellerson Company provided the following information for the last calendar year: During the year,...

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