Head Stone produces granite grave stones. These monuments are etched with the name of the deceased...

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Head Stone produces granite grave stones. These monuments are etched with the name of the deceased and other information. Each monument typically requires 300 pounds of granite. The standard cost for granite is estimated at $150 per ton (2,000 pounds). During a recent month, 200 monuments were constructed. The company purchased and used 25 tons of material at a cost of $175 per ton. Compute the total variance for materials, and determine how much is related to price and how much is related to quantity. Worksheet 3 Materials variances: Actual quantity (tons) Actual price Actual cost of direct materials Output-number of monuments Standard quantity of input per monument (15% of a ton) Standard quantity of input to achieve output (tons) Standard price per unit of input Standard cost of direct materials Total materials variance (standard cost v. actual cost) Materials price variance: Standard price Actual price Actual quantity Unfavorable materials price variance Materials quantity variance: Standard quantity Actual quantity Standard price Favorable materials quantity variance T⠀ ⠀ ⠀ Head Stone produces granite grave stones. These monuments are etched with the name of the deceased and other information. Each monument typically requires 300 pounds of granite. The standard cost for granite is estimated at $150 per ton (2,000 pounds). During a recent month, 200 monuments were constructed. The company purchased and used 25 tons of material at a cost of $175 per ton. Compute the total variance for materials, and determine how much is related to price and how much is related to quantity. Worksheet 3 Materials variances: Actual quantity (tons) Actual price Actual cost of direct materials Output-number of monuments Standard quantity of input per monument (15% of a ton) Standard quantity of input to achieve output (tons) Standard price per unit of input Standard cost of direct materials Total materials variance (standard cost v. actual cost) Materials price variance: Standard price Actual price Actual quantity Unfavorable materials price variance Materials quantity variance: Standard quantity Actual quantity Standard price Favorable materials quantity variance T⠀ ⠀ ⠀

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