The following data relate to the direct materials cost for the production of 4,000 automobile tires:
|
Actual: |
130,240 pounds at $1.65 |
$214,896 |
|
Standard: |
128,760 pounds at $1.85 |
$238,206 |
a. Determine the price variance, quantity variance, and total direct materials cost variance.
b. To whom should the variances be reported for analysis and control?