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    Compute the materials price variance

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    The Elm Institute makes portable tents for hikers. Their tents have a standard materials usage of 4 yards of cloth per tent at $7.00 per yard. During the month, 2,400 yards of cloth were purchased at $7.30 per yard. Production for the month produced 550 tents and used 2,100 yards of cloth. Please compute the materials price variance.

    A. $630 unfavorable
    B. $14,700 favorable
    C. $17,520 unfavorable
    D. $720 unfavorable

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    https://brainmass.com/business/accounting/compute-the-materials-price-variance-485364

    Solution Preview

    The Elm Institute makes portable tents for hikers. Their tents have a standard materials usage of 4 yards of cloth per tent at $7.00 per yard. During the ...

    $2.19

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