Sitka Industries uses a cost system that carries direct materials inventory at a standard cost. The controller has established these standards for one ladder (unit):Sitka Industries cost standardsStandard QuantityStandard PriceDirect materialsDirect labor3 pounds$5.59 per pound4.34 hours$12.95 per hourSitka Industries made 2,814 ladders in July and used 8,075 pounds of material to make these units. Smith Industries bought 17,336 pounds of material in the current period. There was a $215 unfavorable direct materials price variance.How much in total did Sitka pay for the materials purchased? Round to the nearest penny, two decimal places.

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Description: Sitka Industries uses a cost system that carries direct materials inventory at a standard cost. The controller has established these standards for one ladder (unit):Sitka Industries cost standardsStandard QuantityStandard PriceDirect materialsDirect

Direct Materials Price Variance is the Variance which shows difference between the actual price and…

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ka Industries made 2,814 ladders in July and used 8,075 pounds of material to make these units. Smith Industri ow much in total did Sitka pay for the materials purchased? Round to the nearest penny, two decimal places.

ka Industries made 2,814 ladders in July and used 8,075 pounds of material to make these units. Smith Industri ow much in total did Sitka pay for the materials purchased? Round to the nearest penny, two decimal places.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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