Why do governments exist? (Choose three responses)
2 answers:
You might be interested in
Answer:
Material Quantity Variance = $18,000 Favorable
Explanation:
Material Quantity Variance = (Standard Quantity - Actual Quantity) Standard Rate
Provided information
Here, Standard Rate = $3.00 per pound of raw material
Standard Quantity for Actual Output of 60,000 batches = 60,000 1.4 pound = 84,000
Actual Quantity = 78,000
Material Quantity Variance = (84,000 - 78,000) $3.00
= 6,000 $3.00 = $18,000
Since standard quantity is more than actual it is a favorable variance.