*. Information on the direct material costs of Bernal Manufacturing Corp.
is as follows: Actual direct
material costs P 44,000 Actual units of direct material used 22,000 Standard price per unit of direct
material P2.20 Direct material efficiency variance-unfavorable P2,800 What was Bernal’s direct material
price variance? (M) a. P4,400 favorable. c. P5,600 favorable. b. P4,400 unfavorable. d. P5,600
unfavorable. RPCPA 1079 40 . Information on Duke Co.'s direct material costs for May is as follows:
Actual quantity of direct materials purchased and used 30,000lbs. Actual cost of direct materials $84,000
Unfavorable direct materials usage variance 3,000 Standard quantity of direct materials allowed for May
production 29,000 lbs. For the month of May, Duke's direct materials price variance was: (M) A. $2,800
favorable C. $6,000 unfavorable B. $2,800 unfavorable D. $6,000 favorable Carter & Usry 23.
Information on Energy’s direct material costs for October is as follows: Actual quantity of direct
materials purchased and used 30,000 lbs. Actual cost of direct materials P92,000 Unfavorable direct
materials usage variance P 3,000 Standard quantity of direct materials allowed for May production
29,000 lbs For the month of October, Energy’s direct materials price variance was: a. P3,000 favorable c.
P2,000 unfavorable b. P2,000 favorable d. P2,000 favorable Pol Bobadilla 38. The Porter Company has a
standard cost system. In July the company purchased and used 22,500 pounds of direct material at an
actual cost of $53,000; the materials quantity variance was $1,875 Unfavorable; and the standard
quantity of materials allowed for July production was 21,750 pounds. The materials price variance for
July was: (D) a. $2,725 F. c. $3,250 F. b. $2,725 U d. $3,250 U. G & N 9e Materials Price & Quantity
Variance - Given Actual Cost Questions 114 thru 116 are based on the following information. Horngren
Hector’s Camera Shop has prepared the following flexible budget for September and is in the process of
interpreting the variances. F denotes a favorable variance and U denotes an unfavorable variance.
Variances Flexible Budget Price Efficiency Material A $20,000 $1,000U $1,200F Material B 30,000 500F
800U Material C 40,000 1,400U 1,000F 41 . The actual amount spent for Material A was (E) a. $18,800. c.
$19,800. b. $20,200. d. $21,000. 42 . The actual amount spent for Material B was (E) a. $29,700. c.
$30,500. b. $30,800. d. $30,300. 116.The explanation that lower-quality materials were purchased is
MOST likely for (M) a. Material A. c. Material C. b. Material B. d. both Material A and C. Standard
Quantity Allowed 41. Acme has a standard price of $6 per pound for materials. July’s results showed an
unfavorable materials price variance of $44 and a favorable quantity variance of $228. If 1,066 pounds
were used in production, what was the standard quantity allowed for materials? (M) a. 1,066 c. 1,294 b.
1,104 d. Some other number. D, L & H 9e Actual Units Produced . JKL Company has a standard of 15
parts of component X costing P1.50 each. JKL purchased 14,910 units of component X for P22,145. JKL
generated a P220 favorable price variance and a P3,735 favorable quantity variance. If there were no
changes in the component inventory, how many units of finished product were produced? (M) A. 994
units. C. 1,000 units B. 1,090 units. D. 1,160 units RPCPA 1001 CMA EXAMINATION QUESTIONS Page 14
of 138MANAGEMENT ADVISORY SERVICES STANDARD COSTS AND VARIANCE ANALYSIS 40. Acme has a
standard of 15 parts of component X costing $1.50 each. Acme purchased 14,910 units of X for $21, 950.
Acme generated a $415 favorable price variance and a $3,735 favorable quantity variance. If there were
no changes in the component inventory, how many units of finished product were produced? (M) a. 994
units. c. 1,160 units. b. 1,000 units. d. Some other number. D, L & H 9e Materials Price & Quantity
Variances 44. If the current material standard calls for the use of 100,000 units at P1.00 each, but the
actual usage was 105,000 units at P0.90 each, the variances to be explained are (E)
