Fletcher Company collected the following data regarding production of one of its products. Compute the direct materials price variance.



A) $2,430 unfavorable.

B) $3,570 unfavorable.

C) $2,430 favorable.

D) $6,000 unfavorable.

E) $3,570 favorable.


C) $2,430 favorable.
Explanation: AQ * AP given = $483,570; AQ * SP = 243,000 * $2.00 = $486,000
Direct materials price variance = $2,430 favorable

Business

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