Theft of raw materials is most likely to lead to:
A) Direct materials price variance
B) Favourable direct materials price variance
C) Unfavourable direct materials efficiency variance
D) Favourable direct materials efficiency variance

Question

Quizplus · Accepted Answer

Theft of raw materials means that less raw materials are available for production, which can lead to inefficiencies in the production process and an unfavorable direct materials efficiency variance.

Theft of Raw Materials Is Most Likely to Lead To