INTRODUCTION
The budgeted quantity of aluminum: 100 lbs. per trailer . The budgeted cost of aluminum: $40 per lb. The actual quantity of aluminum purchased 84,000 lbs. The actual quantity of aluminum used 82,927 lbs. Calculate the following: A) The aluminum usage variance. SP x (AQ – SQ) = $40 x (82,927 – (100 x 800)) = $40 x (82,927 – 80,000) ................
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