Sole Purpose manufactures beach shoes that use a canvas as the
main raw material. Data related to the shoes for
June follows:
Standard quantity per unit of output (yards)
4.0
Standard Price (SP) per yard
$11.50
Actual materials purchased in yards
16,500
Actual cost of materials purchased
$84,100
Actual materials used in production (yards)
8,500
Actual outputs in units
4,000
What is the materials quantity variance for canvas
for June?
A.
$86,250 favorable
B.
$92,000 unfavorable
C.
$86,250 unfavorable
D.
$92,000 favorable