Majer Corporation manufactures a product with the following standard costs:

	Standard Quantity or Hours			Standard Price or Rate			Standard cost per unit
Direct materials		6.1	ounces	ps	2.00	per ounce	ps	12.20
Direct labour		0.2	hours	ps	12.00	per hour	ps	2.40
Variable Overhead		0.2	hours	ps	2.00	per hour	ps	0.40

The company reported the following results regarding this product in February.

Product originally budgeted		5,400	units
actual output		5,700	units
Raw materials used in production.		33,100	ounces
Actual direct labor hours		1,890	hours
raw material purchases		28,300	ounces
Actual price of raw materials.	ps	17.10	per ounce
Actual rate of direct labor	ps	7.60	per hour
Real Variable Overhead Rate	ps	5.30	per hour

The company applies variable overhead on the basis of direct labor hours. The direct materials purchase variance is calculated when the materials are purchased.

The variation in the quantity of materials for February is ?

Answer rating: 100% (QA)

Calculate the variation in the quantity of materials for February Standard Quant... View the full answer