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Keller Company Has a Materials Price Standard of $2

Question 105

Multiple Choice

Keller Company has a materials price standard of $2.00 per pound. Five thousand pounds of materials were purchased at $2.20 a pound. The actual quantity of materials used was 5,000 pounds, although the standard quantity allowed for the output was 4,500 pounds.
Keller Company's materials quantity variance is


A) $1,000 U.
B) $1,000 F.
C) $1,100 F.
D) $1,100 U.

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