Parallel enterprises has collected the following data on one of its products. during the period the company produced 25,000 units. direct materials standard (7 kg. @ $1.60/kg.) $11.20 per finished unitactual cost of materials purchased $249,000actual direct materials purchased and used 142,000 kg. the direct materials price variance is: a. $31,000 unfavorable. b. $52,800 unfavorable. c. $52,800 favorable. d. $21,800 unfavorable. e. $21,800 favorable

Option D: $21,800 Unfavorable

Explanation:

Direct Material Price Variance = Actual Cost of Direct Materials Purchased – Actual Quantity of Direct Materials Purchased at Standard Price

If,

Actual Cost of Direct Materials Purchased > Actual Quantity of Direct Materials Purchased at Standard Price = Unfavorable Variance  

Actual Cost of Direct Materials Purchased < Actual Quantity of Direct Materials Purchased at Standard Price = Favorable Variance

Working

Direct Material Price Variance = $249,000 – (142,000 Kg × $1.6 per Kg)

Direct Material Price Variance = $249,000 – $227,000

Direct Material Price Variance = $21,800

As per decision rule stated above, Parallel Enterprises has an Unfavorable Direct Material Price Variance of $21,800

answer; i believe the correct answer is (business necessity defense;

there's 11 people for the 1st position. then, no matter who gets it, there's only 10 left for the second, and then 9 left for the third. 11 x 10 x 9 = 990.   the answer is there are 990 different ways the positions can be filled by these applicants