The following materials standards have been established for a particular product:
|
Standard quantity per unit of output
|
0.2 grams
|
|
Standard price
|
$18.90 per gram
|
The following data pertain to operations concerning the product for the last month:
|
Actual materials purchased
|
4,800 grams
|
|
Actual cost of materials purchased
|
$86,880
|
|
Actual materials used in production
|
4,200 grams
|
|
Actual output
|
21,080 units
|
Required:
a. What is the materials price variance for the month?
b. What is the materials quantity variance for the month?