Absolute Manipulation Manufacturing's (AMM) standards anticipate that there will be 4 pounds of raw material used for every unit of finished goods produced. AMM began the month of May with 3,500 pounds of raw material, purchased 18,700 pounds for $16,830 and ended the month with 1,900 pounds on hand. The company produced 4,700 units of finished goods. The company estimates standard costs at $1.30 per pound. The materials price and efficiency variances for the month of May were:

Instructions are below.

Explanation:

Giving the following information:

Standard:

Quantity= 4 pounds per unit

Cost= $1.3 per pound

Actual:

Purchase= 18,700

Used= 3,500 + 18,700 - 1,900= 20,300

Cost= 16,830/18,700= $0.9 per pound

Units produced= 4,700 units

To calculate the direct material price and quantity variance, we need to use the following formulas:

Direct material price variance= (standard price - actual price)*actual quantity

Direct material price variance= (1.3 - 0.9)*18,700

Direct material price variance= $7,480 favorable

Direct material quantity variance= (standard quantity - actual quantity)*standard price

Direct material quantity variance= (4*4,700 - 20,300)*1.3

Direct material quantity variance= $1,950 unfavorable

i tried to find the answe for you im sorry.

if you use only 25 for your entertainment and only 200 for the groceries that you really need and take out the 50 per month for the computer then that should be enough