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    Calculate the material price and material quantity variance

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    In October, 5,000 meters of raw material were purchased at an actual cost of $4.50 per meter. During October, 4,850 meters of the raw material were used to produce 2,400 units of the completed product. Standards call for 2 meters of the raw material for each unit of the completed product. The standard price of the raw material is $4.70 per meter. The materials variances for October were:

    Materials price variance Materials quantity variance
    A) $970 F $225 U
    B) $1000 F $225 U
    C) $970 F $235 U
    D) $1000F $235 U

    Calculate the material price and material quantity variance.

    © BrainMass Inc. brainmass.com June 4, 2020, 12:36 am ad1c9bdddf
    https://brainmass.com/business/accounting/calculate-material-price-material-quantity-variance-348854

    Solution Summary

    The expert calculates the material price and material quantity variance.

    $2.19

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