The direct materials quantity variance is 1 500 unfavorable, Accounting Basics

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The direct materials quantity variance is 1 500 unfavorable

Problem

The Southside Corporation budgeted 4, 400 pounds of direct materials to make 2, 600 units of product. The company actually used 4, 800 pounds of direct materials to make the 2, 600 units. The direct materials quantity variance is $1, 500 unfavorable. What is the Standard Price (SP) per pound of direct materials?

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Accounting Basics: The direct materials quantity variance is 1 500 unfavorable

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