AUDIT+ASSURANCE SERVICES (LL) W/CONNECT
AUDIT+ASSURANCE SERVICES (LL) W/CONNECT
8th Edition
ISBN: 9781264979516
Author: LOUWERS
Publisher: MCG CUSTOM
Question
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Chapter 10, Problem 20RC
To determine

Identify the facts that auditors discovered the off-balance sheet financing described in the off-balance sheet inventory financing case.

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I am looking for the correct answer to this financial accounting question with appropriate explanations.
During July, Colin Manufacturing produced 8,500 units. The standard quantity of material allowed per unit was 5 kilograms at a standard cost of $7 per kilogram. If there was an unfavorable usage variance of $18,900 for July, what amount must be the actual quantity of materials used?
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