8 2 Compute and Evaluate Materials Variances Principles of Accounting, Volume 2: Managerial Accounting
It evaluates the extent to which the standard price has been over or under applied to different units of purchase. Recall from Figure 10.1 «Standard Costs at Jerry’s Ice Cream» that the direct materials standard price for Jerry’s is $1 per pound, and the standard quantity of direct materials is 2 pounds per unit. Figure 10.4 «Direct Materials Variance Analysis for Jerry’s Ice Cream» shows how to calculate the materials price and quantity variances given… Leer más »8 2 Compute and Evaluate Materials Variances Principles of Accounting, Volume 2: Managerial Accounting