West Company manufactures a product that should use 15 pounds of chemical ABX for each unit manufactured, and ABX should cost $14 per pound. During the month, West manufactured 500 units of product using 7,800 pounds of ABX at an average cost of $12 per pound. Answer the following:

1) How much is the total materials variance?

2) Is the total materials variance favorable or unfavorable?

3) How much is the material quantity variance?

4) Is the material variance favorable or unfavorable?

5) How much is the material cost variance?

6) Is the material cost variance favorable or unfavorable?

Answer rating: 100% (QA)

To calculate the variances we need to use the formulas for material quantity variance material price variance and material cost variance 1 Total mater... View the full answer