If the standard to produce a given amount of product is 2,000 units of direct materials at $12 and the actual was 1,600 units at $13, the direct materials quantity variance was $5,200 favorable.

Question

Quizplus · Accepted Answer

The direct materials quantity variance formula is (Standard quantity - Actual quantity) x Standard price.

Using the information given: 
- Standard quantity: 2,000 units 
- Actual quantity: 1,600 units 
- Standard price: $12

Plugging these values into the formula: 
(2,000 - 1,600) x $12 = $4,800 favorable

Therefore, the correct answer is B, as the given answer of $5,200 favorable does not align with the actual calculation.

If the Standard to Produce a Given Amount of Product