Answer:
D. $1,344 unfavorable
Explanation:
We know,
Direct materials quantity variance = (Standard Quantity - Actual Quantity) × Standard price
Given,
Standard Quantity = 4,440 pounds of material
Actual Quantity = 4,650 pounds of material
Standard price = $6.40
Putting the values into the above formula, we can get,
Direct materials quantity variance = (4,440 - 4,650) pounds × $6.40
or, Direct materials quantity variance = -210 pounds × $6.40
Therefore, Direct materials quantity variance = $1,344
As the actual quantity is higher than standard quantity, the situation is unfavorable. Therefore, option D is the answer.
