I need help computing the material quantity variance of this problem: The total

Question

I need help computing the material quantity variance of this problem:

The total problem with all information is
Imputs standard quantity or hrs standard price or rate standard cost per unit

direct materials 6.9 liters $5.00 per liter $34.50
direct labor 0.3 hours $17.00 per hour $5.10
variable overhead 0.3 hours $6.00 per hour $1.80

originally budgeted output is 8600 units
actual output is 8400 units
raw materials used in production is 58,330 liters
actual direct labor hours are 2310 hours
purchases of raw materials are 62,500 liters
actual price of raw materials is $4.90 per liter
actual direct labor rate is $17.10 per hour
actual variable overhead rate is $5,50

Explanation / Answer

Material quantity variance = Standard price x (Actual Quantity – Standard Quantity) Standard price = $5.00 per liter Actual Quantity = 58,330 liters Standard quantity = 8400 units* 6.9 liters = 57,960 liters Material quantity variance = $5.00(58,330 – 57,960) = $1850 unfavorable

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