# Calculate the direct material price variance for June. If the variance is favorable, enter an F after your number with a space between the number

Subject: Business    / Accounting
Second question on how to  Calculate the direct material price variance for June

ABC Company began operations on June 1, 2019. For its first month of operations, ABC
Company established the following standards for unit of its single product:

### Save your time - order a paper!

Get your paper written from scratch within the tight deadline. Our service is a reliable solution to all your troubles. Place an order on any task and we will take care of it. You won’t have to worry about the quality and deadlines

Order Paper Now

standard quantity standard price

direct materials 8 pounds \$3.50 per pound
direct labor 7 hours \$15.00 per hour
variable overhead 7 hours \$7.50 per hour

The following information is available for surge for the month of June:

1. 65,000 pounds of direct materials were purchased at a total cost of \$188,500.
2. 45,000 direct labor hours were worked at a total cost of \$731,250.
3. The variable overhead cost for the month totaled \$325,000.
4. 6,500 units were produced.
5. At June 30, ABC Company had 8,000 pounds of direct materials on hand.

Calculate the direct material price variance for June. If the variance is favorable, enter an F after your number with a space between the number and the F (i.e., 10,000 F).

If the variance is unfavorable, enter a U after your number with a space between the number and the U (i.e., 10,000 U).

PLACE THIS ORDER OR A SIMILAR ORDER WITH BEST NURSING TUTORS TODAY AND GET AN AMAZING DISCOUNT

The post Calculate the direct material price variance for June. If the variance is favorable, enter an F after your number with a space between the number appeared first on BEST NURSING TUTORS .