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Katyanochek1 [597]
3 years ago
12

Jake Shirt Co. used 5,300 square yards of polyester to produce 3,000 shirts. The standard quantity of material for the 3,000 shi

rts produced is 6,100 square yards. The standard price for direct materials is $4.00 per square yard. The entry to record the direct materials quantity variance would include a:_____________
a. debit to Direct Materials Quantity Variance for $3,200.
b. credit to Direct Materials Quantity Variance for $3,200.
c. debit to Direct Materials Quantity Variance for $12,000.
d. credit to Direct Materials Quantity Variance for $12,000.
Business
1 answer:
alekssr [168]3 years ago
8 0

Answer:

b. credit to Direct Materials Quantity Variance for $3,200.

Explanation:

Direct material quantity variance = Standard quantity - Actual quantity * Standard price for direct material

Direct material quantity variance = (6,100 - 5,300) * $4

Direct material quantity variance = 800 * $4

Direct material quantity variance = $3,200 Favorable

The entry to record the direct materials quantity variance would include a <u>credit to Direct Materials Quantity Variance for $3,200</u>

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