Use the following information to answer the following Questions
The following data relates to Camire Corporation's operations for the month. 3,000 finished units of product were produced and the normal monthly capacity is 4,800 direct labor hours.

-What is the materials efficiency variance?
A) $2,500.00 U
B) $2,500.00 F
C) $2,537.50 U
D) $2,537.50 F
E) None of the above

Question

Use the following information to answer the following Questions 
 The following data relates to Camire Corporation's operations for the month. 3,000 finished units of product were produced and the normal monthly capacity is 4,800 direct labor hours.
 
-What is the materials efficiency variance?
A) $2,500.00 U 
B) $2,500.00 F 
C) $2,537.50 U 
D) $2,537.50 F 
E) None of the above

Quizplus · Accepted Answer

SP (AQ-SQ) = $10.00 x (1,750 - 1,500*) = $2,500 U
*(3,000 finished units of product x 0.5 lbs. / unit = 1,500 lbs.)

Use the Following Information to Answer the Following Questions