Christopher Akers is the chief executive officer of SBL Inc., a masonry contractor. The financial statements have just arrived showing a $3,000 loss on the new stadium job that was budgeted to show a $6,000 profit. Actual and budget information relating to the materials for the job are as follows.
Which one of the following is a correct statement regarding the stadium job for SBL?
A) The price variance was favorable by $285.
B) The price variance was favorable by $300.
C) The efficiency variance was unfavorable by $1,185.
D) The flexible budget variance was unfavorable by $900.

Question

Christopher Akers is the chief executive officer of SBL Inc., a masonry contractor. The financial statements have just arrived showing a $3,000 loss on the new stadium job that was budgeted to show a $6,000 profit. Actual and budget information relating to the materials for the job are as follows.
 Which one of the following is a correct statement regarding the stadium job for SBL?
A) The price variance was favorable by $285. 
B) The price variance was favorable by $300. 
C) The efficiency variance was unfavorable by $1,185. 
D) The flexible budget variance was unfavorable by $900.

Quizplus · Accepted Answer

The Answer of  Christopher Akers is the chief executive officer of SBL Inc., a masonry contractor. The financial statements have just arrived showing a $3,000 loss on the new stadium job that was budgeted to show a $6,000 profit. Actual and budget information relating to the materials for the job are as follows.
 Which one of the following is a correct statement regarding the stadium job for SBL?
A) The price variance was favorable by $285. 
B) The price variance was favorable by $300. 
C) The efficiency variance was unfavorable by $1,185. 
D) The flexible budget variance was unfavorable by $900.

Christopher Akers Is the Chief Executive Officer of SBL Inc