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Norio Manufacturing Uses Powdered Plastics (PPS) to Manufacture a High-Pressure

Question 66

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Norio Manufacturing uses powdered plastics (PPS) to manufacture a high-pressure board used in a digital equipment product, Flex 10. Information concerning its operation in June is as follows: Norio Manufacturing uses powdered plastics (PPS)  to manufacture a high-pressure board used in a digital equipment product, Flex 10. Information concerning its operation in June is as follows:  Assume that Norio does not maintain an inventory of materials, so that the amount of materials used is equal to the amount of materials purchased. The direct materials purchase-price variance (rounded to the nearest dollar)  is: A)  $51,840 favorable. B)  $56,160 favorable. C)  $62,208 favorable. D)  $64,840 favorable. E)  $72,000 favorable. Assume that Norio does not maintain an inventory of materials, so that the amount of materials used is equal to the amount of materials purchased. The direct materials purchase-price variance (rounded to the nearest dollar) is:


A) $51,840 favorable.
B) $56,160 favorable.
C) $62,208 favorable.
D) $64,840 favorable.
E) $72,000 favorable.

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