Jennifer Gibson Company budgeted 4,000 pounds of direct materials costing $ 7.00 per pound to make 8,000 units of product. The company actually used 4,200 pounds costing $ 6.50 per pound to make the 8,000 units. The direct materials efficiency variance is:

$ 3,400 unfavorable
$ 1,400  unfavorable
$ 100  favorable
$ 2,000  favorable

please show all formulas and calculations

 

Answer rating: 100% (QA)

Heres the breakdown of calculating the direct materials efficiency variance for Jennifer Gibson Company along with the explanations 1 Direct Materials ... View the full answer