Patton, Inc., has the following information available concerning direct materials:

Patton standards allow for 6 liters of direct materials for each unit produced. During the period, Patton produced 25,000 units and used 160,000 liters of direct materials. Patton purchased 175,000 liters of direct materials. What was the standard purchase price per liter for direct materials?

Transcribed Image Text:

Direct materials price variance Direct materials inventory variance Direct materials usage variance $ 17,500 F $18,000 U $12,000 U