The direct materials quantity variance is part of the direct materials flexible budget variance that is caused by
A)wsing more or less material than the standard quantity allowed for actual production.
B)applying too much overhead to production.
C)having too much inventory in the storeroom.
D)paying more or less than the standard cost per

Question

Quizplus · Accepted Answer

The direct materials quantity variance is caused by using more or less material than the standard quantity allowed for actual production. This variance measures the difference between the actual quantity of materials used and the standard quantity of materials allowed for the actual production. Thus, option A is the correct answer. Option B is incorrect because it refers to the overhead variance, which is different from the direct materials quantity variance. Option C is incorrect because having too much inventory in the storeroom would result in a different type of variance, such as the direct materials price variance or the carrying cost variance. Option D is also incorrect because paying more or less than the standard cost per unit would result in the direct materials price variance, not the direct materials quantity variance.

The Direct Materials Quantity Variance Is Part of the Direct