47. Idol Company has developed standards for the materials required to produce a single unit of… 1 answer below »

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47. Idol Company has developed standards for the materials required to produce a single 
unit of Model IWIN:

25 pounds of Supreme at $130.00 per pound
Last month, Idol purchased 490,000 pounds of Supreme at a total cost of 
$61,250,000. Idol used 482,000 pounds of Supreme to make 19,000 units of IWIN. 

Calculate the material price variance and material quantity variance, and indicate whether 
each variance is favorable or unfavorable.

 

 

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