The direct materials quantity variance is the part of the direct materials flexible budget variance that is caused by using more or less material than the standard quantity allowed for actual production.

Question

Quizplus · Accepted Answer

The direct materials quantity variance measures the difference between the actual quantity of materials used and the standard quantity allowed, while the direct materials flexible budget variance measures the overall difference between the actual cost of materials used and the budgeted cost for the materials. Therefore, the direct materials quantity variance is a component of the direct materials flexible budget variance.

The Direct Materials Quantity Variance Is the Part of the Direct