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Measuring performance with product costing data

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The following table presents the weekly average of direct materials costs per unit for two products. How could the manager of the department that makes these products use this information?

Week Product A Product B
1 $45.20 $23.90
2 $46.10 $23.80
3 $48.30 $23.80
4 $49.60 $23.60

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Solution Summary

The expert examines measuring performance with product costing data.

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ANSWERS

First, the price of the materials for Product A is increasing while it is decreasing for Product B.

Second, the manager of the department that ...

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