Wilson Manufacturing's output for the current period was assigned a $240,000 standard direct materials cost. The direct materials variances included a $6,500 unfavorable price variance and a $2,800 favorable quantity variance. What is the actual total direct materials cost? a) $236,300 b) $243,700 c) $249,300 d) $231,300

Wilson Manufacturing's output for the current period was assigned a $240,000 standard direct materials cost. The direct materials variances included a $6,500 unfavorable price variance and a $2,800 favorable quantity variance. What is the actual total direct materials cost? a) $236,300 b) $243,700 c) $249,300 d) $231,300

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter10: Standard Costing And Variance Analysis

Section: Chapter Questions

Problem 68P: The management of Golding Company has determined that the cost to investigate a variance produced by...

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Recompute the variances from the second Acme Inc. exercise using $0.0725 as the standard cost of the material and $14 as the standard labor cost per hour. How has your explanation of the variances changed?
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