Practice Assesment 1 Question 2

b) Standard cost = 2*950*18 =34,200 Standard hours @ standard cost - actual hours @ standard cost = -180
Actual hours @ standard cost = 34200+180 = 34,380
Total hours use = 34380 /18 = 1,910

c) 1140*7.80 - 1140* P = -912 Standard price for material used - Actual price for material used = price variance
P = 912/1140 +7.8
P = £8.60


Fairly certain that this is what you need to do. I don't use variances in my day to day so might have muddled something up