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Business, 22.07.2021 18:30 Klevster

Tercer reports the following for one of its products. Direct materials standard (4 lbs. $2 per lb.) Actual direct materials used (AQ) Actual finished units produced Actual cost of direct materials used $8 per finished unit 300,000 lbs. 60,000 units $535,000 AQ Actual Quantity SQ Standard Quantity AP Actual Price SP Standard Price. Compute the direct materials price and quantity variances and classify each as favorable or unfavorable.

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