# Question: standard product cost direct materials variance condiments company uses standards...

###### Question details

Standard Product Cost, Direct Materials Variance

Condiments Company uses standards to control its materials costs. Assume that a batch of ketchup (2,900 pounds) has the following standards:

Standard Quantity |
Standard Price |
|||

Whole tomatoes | 4,800 | lbs. | $ 0.47 | per lb. |

Vinegar | 270 | gal. | $ 2.90 | per gal. |

Corn syrup | 23 | gal. | $ 10.40 | per gal. |

Salt | 108 | lbs. | $ 2.60 | per lb. |

The actual materials in a batch may vary from the standard due to tomato characteristics. Assume that the actual quantities of materials for batch K-111 were as follows:

5,000 lbs. of tomatoes |

259 gal. of vinegar |

24 gal. of corn syrup |

107 lbs. of salt |

**a.** Determine the standard unit materials cost
per pound for a standard batch. If required, round amounts to the
nearest cent.

Ingredient |
Standard Cost per Batch |

Whole tomatoes | $ |

Vinegar | $ |

Corn syrup | $ |

Salt | $ |

Total | $ |

Standard unit materials cost per pound | $ |

**b. **Determine the direct materials
quantity variance for batch K-111. If required, round amounts to
the nearest cent. Enter a favorable variance as a negative number
using a minus sign and an unfavorable variance as a positive
number.

Ingredient |
Materials Quantity Variance |
Favorable/Unfavorable |

Whole tomatoes | $ | |

Vinegar | $ | |

Corn syrup | $ | |

Salt | $ | |

Total direct materials quantity variance | $ |