The Armstrong Corporation Developed a Flexible Budget for Its Production

Multiple Choice

The Armstrong Corporation developed a flexible budget for its production process.Armstrong budgeted to use 16,000 pounds of direct material with a standard cost of $18 per pound to produce 12,000 units of finished product.Armstrong actually purchased 18,000 pounds and used 17,000 pounds of direct material with a cost of $21 per pound to produce 12,000 units of finished product.
Given these results,what is Armstrong's direct material quantity variance?

A) $36,000 favorable
B) $18,000 favorable
C) $36,000 unfavorable
D) $18,000 unfavorable