Post-Lecture Question 02 x Materials Price Variance = (Actual Quantity x Actual Price) – (Actual Qua

Post-Lecture Question 02 x Materials Price Variance = (Actual Quantity x Actual Price) – (Actual Quantity X Standard Price) or $3600 (900 x $4.0) – $4500 (900 x $5.0) = $900 favorable. A company developed the following per unit standards for its products: 2.50 pounds of direct materials at $5.0 per pound. Last month, 900 lbs of direct materials were purchased for $3600. The direct materials price variance for last month was X O $900 unfavorable. $3600 favorable. O $900 favorable. O $360 favorable.