Question: The following data is given for the Stringer Company: Budgeted production 934 units Actual production 1,091 units Materials: Standard price per ounce $1.82 Standard ounces

The following data is given for the Stringer Company:

Budgeted production 934 units
Actual production 1,091 units
Materials:
Standard price per ounce $1.82
Standard ounces per completed unit 11
Actual ounces purchased and used in production 12,361
Actual price paid for materials $25,340
Labor:
Standard hourly labor rate $14.43 per hour
Standard hours allowed per completed unit 4.5
Actual labor hours worked 5,618.65
Actual total labor costs $85,684
Overhead:
Actual and budgeted fixed overhead $1,177,000
Standard variable overhead rate $27.00 per standard labor hour
Actual variable overhead costs $157,322
Overhead is applied on standard labor hours.

The direct materials quantity variance is

a.2,842.98 favorable

b.2,842.98 unfavorable

c.655.20 unfavorable

d.655.20 favorable

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