Direct-material variances nakhon custom shirt company uses, Accounting Basics

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Direct-material variances nakhon custom shirt company uses

Question: Direct-Material Variances Nakhon Custom Shirt Company uses a special fabric in the production of dress shirts. During August, Nakhon Custom Shirt purchased and used 4,100 square yards in the production of 3,700 shirts at a total cost of B2,812,600. (B stands for the Thai baht. There are roughly 30 bahts to a U.S. dollar.) The standard allows one yard at B680 per yard for each shirt. Calculate the material price variance and the material quantity variance.

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Accounting Basics: Direct-material variances nakhon custom shirt company uses

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