Problem A: A product has a standard materials usage and cost of 4 pounds per unit at $7.00 per pound. During the month, 2,400 pounds of materials were purchased at $7.30 per pound. Production for the month totaled 550 units requiring 2,100 pounds of materials. Requirement: Compute the Materials Price Variance, the Materials (Quantity) Usage Variance and the Total Materials Variance. Also indicate whether the variances are Favorable or Unfavorable 22 points AQ SQ AP SP- Actual Quantity in pounds Standard Quantity in pounds Actual Price per pound Standard Price per pound Material Price Variance (Actual Quantitty Purchased x Actual Price) - (Actual Quantitty Purchased x Standard Price) AP AQ SP perib por ib. Materials Price Variance (Make sure all variance amounts are positiv Material (Quantitty) Usage Variance = (Actual Quantity Used x Standard Price) - (Standard Quantity x Standard Price) AQ SP SO SP per lb perib Materials (Qty Usage Variance (Make sure all variance amounts are positive Total Material Variance - Direct Materials Variance + or - Material (Quantity Usage Variance (Hint: if both Variances are Favorable or Unfavorable then you add them together and the Total Variance will be Favorable or Unfavorable. If one is Favorable and the other is Unfavorable you will subtract the 2 and the Total Variance will take on the Favorable or Unfavorable trait of the largest variance) Materials Price Variance Materials (Qly Usage Variance Total Materials Variance (Make sure all variance amounts are positive