Calculation of Material Variances.
The standard cost of Product B manufactured by mateo Company includes 3 units of direct materials at $5.30 per unit. During June, 28,000 units of direct materials are purchased at a cost of $4.98 per unit, and 28,000 units of direct materials are used to produce 9,000 units of Product B.
Compute the total materials variance and the price and quantity variances.
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Total materials variance
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$_____
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Materials price variance
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$_____
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Materials quantity variance
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$_____
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Repeat (a), assuming the purchase price is $5.51, and the quantity purchased and used is $26,000 units.