Boxes Company has collected the following data for one of its products:
$$\begin{array} { | l | l | }
\hline \text { Direct materials standard (3 pounds @ \$1/lb.) } & \$ 3 \text { per finished good } \
\hline \text { Direct materials flexible budget variance-unfavorable } & \$ 14,000 \
\hline \text { Actual direct materials used } & 100,000 \text { pounds } \
\hline \text { Actual finished goods produced } & 25,000 \text { units } \
\hline
\end{array}$$ How much is the direct materials efficiency variance?
A) $11,000 unfavorable
B) $11,000 favorable
C) $25,000 unfavorable
D) $25,000 favorable

Question

Boxes Company has collected the following data for one of its products:
$$\begin{array} { | l | l | } 
\hline \text { Direct materials standard (3 pounds @ \$1/lb.) } & \$ 3 \text { per finished good } \
\hline \text { Direct materials flexible budget variance-unfavorable } & \$ 14,000 \
\hline \text { Actual direct materials used } & 100,000 \text { pounds } \
\hline \text { Actual finished goods produced } & 25,000 \text { units } \
\hline
\end{array}$$ How much is the direct materials efficiency variance?
A) $11,000 unfavorable
B) $11,000 favorable
C) $25,000 unfavorable
D) $25,000 favorable

Quizplus · Accepted Answer

The Answer of Boxes Company has collected the following data for one of its products:
$$\begin{array} { | l | l | } 
\hline \text { Direct materials standard (3 pounds @ \$1/lb.) } & \$ 3 \text { per finished good } \
\hline \text { Direct materials flexible budget variance-unfavorable } & \$ 14,000 \
\hline \text { Actual direct materials used } & 100,000 \text { pounds } \
\hline \text { Actual finished goods produced } & 25,000 \text { units } \
\hline
\end{array}$$ How much is the direct materials efficiency variance?
A) $11,000 unfavorable
B) $11,000 favorable
C) $25,000 unfavorable
D) $25,000 favorable

Boxes Company Has Collected the Following Data for One of Its