It is possible to have a situation where the direct materials price variance is favorable and the direct materials quantity variance is unfavorable.

Question

Quizplus · Accepted Answer

This situation can occur when the actual price paid for direct materials is lower than the standard price, resulting in a favorable price variance. However, if more direct materials are used than expected (possibly due to inefficiencies or waste), this can result in an unfavorable quantity variance.

It Is Possible to Have a Situation Where the Direct