What cost of pps in the flexible budget for number of units

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Norio Manufacturing uses powdered plastics (PPS) to manufacture a high-pressure board used in a digital equipment product, Flex 10. Information concerning its operation in June is as follows:

Budgeted units of Flex 10 for June 5,400

Budgeted usage of PPS 48,600pounds

Actual number of units of Flex 10 manufactured 4,400

PPS purchased 50,320 pounds

PPS used 43,000pounds

Total actual cost of PPS used$217,580

Direct materials usage variance$25,160 unfavorable

Problem 1: The cost of PPS in the flexible budget for the number of units manufactured this period (rounded to nearest dollar) is:

Multiple Choice

Option 1:
-$372,368.

Option 2:
-$399,600.

Option 3:
-$359,640.

Option 4:
-$309,320.

Reference no: EM132930275

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