Q. To produce Product A 2 kg of material X at Rs 10 per kg is required . During February 800 units of Product, A were produced. Actual price paid for material X is Rs 9 per kg and total cost Rs 15,300. Determine material cost variance. (Solved)

1. Rs 700 favorable

2. Rs 700 unfavorable

3. Inadequate data

4. None of the above

  • a. Rs 700 favorable
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