1. Precilla company uses a standard costing system that allows 2 pounds of direct materials for one finished unit. the firm purchased 40,000 pounds of direct materials for $210,000 and manufactured 12,000 finished units in july. The standard DM cost allowed for the units manufactured its $120,000. The peformance report shows that the firm has an unfavorable DM quantity variance of $5,000. Precilla standard price for one pound of DM is

A. 4.00

B.5.00

C. 6.00

D.10.00

E. 12.00

2. Also what is the number of pounds used to produce July's output total

A. 12,000 pounds

B. 20,000 pounds

C. 24,000 pounds

D. 25,000 pounds

E. 40,000 pounds

Answer rating: 100% (QA)

1 B 5 per unit Calculate standard price per unit Standard direct mat... View the full answer