Q135
If actual price input is 700, budgeted price of input is 400 and actual quantity of input is 50 units, then price variance will be
A.
$15,000
AnswerB.
$13,000
C.
$11,000
D.
$9,000
Answer: Option A
Solution
Answer: Option A
Solution:
Price variance = (actual price input - budgeted price of input) × actual quantity of input = (400) × 50 = $15,000.