DM variances Bell Inc. manufactures a product that requires five pounds of material. The purchasing agent has an opportunity to purchase the necessary material at a vendor's bankruptcy sale at $1.40 per pound rather than the standard cost of $2.10 per pound. The purchasing agent purchases 200,000 pounds of material on May 31. During the next four months, the company's production and material usage was as follows: June July August September Production Quantity Used 6,000 32,800 pounds 6,800 35,280 pounds 5,800 29,900 pounds 5,000 26,200 pounds Note: Round all of your final answers below to the nearest whole dollar. a. What is the material price variance for this purchase? Note: Do not use a negative sign with your answer. Material price variance $ b. What is the material quantity variance for each month for this material? Note: Do not use a negative sign with your answers. June material quantity variance July material quantity variance August material quantity variance September material quantity variance $ ◆ ◆ ◆
DM variances Bell Inc. manufactures a product that requires five pounds of material. The purchasing agent has an opportunity to purchase the necessary material at a vendor's bankruptcy sale at $1.40 per pound rather than the standard cost of $2.10 per pound. The purchasing agent purchases 200,000 pounds of material on May 31. During the next four months, the company's production and material usage was as follows: June July August September Production Quantity Used 6,000 32,800 pounds 6,800 35,280 pounds 5,800 29,900 pounds 5,000 26,200 pounds Note: Round all of your final answers below to the nearest whole dollar. a. What is the material price variance for this purchase? Note: Do not use a negative sign with your answer. Material price variance $ b. What is the material quantity variance for each month for this material? Note: Do not use a negative sign with your answers. June material quantity variance July material quantity variance August material quantity variance September material quantity variance $ ◆ ◆ ◆
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter10: Cost Analysis For Management Decision Making
Section: Chapter Questions
Problem 2MC: Denali Company manufactures household products such as windows, light fixtures, ladders, and work...
Related questions
Question
Please do not give solution in image format thanku
AI-Generated Solution
AI-generated content may present inaccurate or offensive content that does not represent bartleby’s views.
Unlock instant AI solutions
Tap the button
to generate a solution
Recommended textbooks for you
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning