Question: The following data is given for the Stringer Company: Budgeted production 928 units Actual production 1,067 units Materials: Standard price per ounce $1.87 Standard ounces

The following data is given for the Stringer Company:

Budgeted production 928 units
Actual production 1,067 units
Materials:
Standard price per ounce $1.87
Standard ounces per completed unit 10
Actual ounces purchased and used in production 10,990
Actual price paid for materials $22,529
Labor:
Standard hourly labor rate $14.12 per hour
Standard hours allowed per completed unit 4.2
Actual labor hours worked 5,495.05
Actual total labor costs $83,800
Overhead:
Actual and budgeted fixed overhead $1,036,000
Standard variable overhead rate $28.00 per standard labor hour
Actual variable overhead costs $153,861
Overhead is applied on standard labor hours.

The direct materials quantity variance is

a.1,977.70 favorable

b.1,977.70 unfavorable

c.598.40 unfavorable

d.598.40 favorable

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