Swifty produces 5-foot USB cables. During the past year, the company purchased 215,000 feet of plastic-coated wire at a price of $0.40 per foot. The direct materials standard for the cables allows 6 feet of wire at a standard price of $0.45 per foot. During the year, the company used a total of 245,000 feet of wire to produce 42,000 5-foot cables. Calculate Swifty’s direct materials quantity variance for the year. Direct material quantity variance $ Is this favorable or not?
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
Swifty produces 5-foot USB cables. During the past year, the company purchased 215,000 feet of plastic-coated wire at a price of $0.40 per foot. The direct materials standard for the cables allows 6 feet of wire at a standard price of $0.45 per foot. During the year, the company used a total of 245,000 feet of wire to produce 42,000 5-foot cables.
Calculate Swifty’s direct materials quantity variance for the year.
| Direct material quantity variance $ |
Is this favorable or not?
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