The price variance is also called a rate variance when managers refer price variances for direct manufacturing labor.

Name: The price variance is also called a rate variance when managers refer price variances for direct manufacturing labor.
Brand: Quizplus
Rating: 4.8 (56 reviews)

Question

Quizplus · Accepted Answer

This statement is true. Price variance for direct manufacturing labor can be expressed as a rate variance, which reflects the difference between the actual and budgeted hourly rate paid to workers.

The Price Variance Is Also Called a Rate Variance When