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Question 18
Charlatte Company has determined that the standard cost to manufacture its product includes 2 units of direct materials at
$6.00 per unit. During January, the company purchased 51,300 units of direct materials at a cost of $5.80 per unit and used
51,300 units of direct materials to produce 23,900 units of its product.
Calculate the total materials variance, and the price and quantity variances.
Materials Variance
Materials Price Variance
Neither favourable nor unfavourable
Materials Quantity Variance

Step-by-step answer

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