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Zepler [3.9K]
3 years ago
10

Cavern Company's output for the current period results in a $5,250 unfavorable direct material price variance. The actual price

per pound is $56.50 and the standard price per pound is $55.00. How many pounds of material are used in the current period?
Business
1 answer:
lisov135 [29]3 years ago
4 0

Answer:

3,500 pounds

Explanation:

By applying the below formula we get:

AQ(AP-SP)

USD 5,250 (unfavorable price variance )

USD 5,250/(AP - SP) = AQ

So,

USD 5,250/(USD 56.50 - USD 55.00)

= 3,500

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(attached graph)

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