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An Unfavorable Direct Material Efficiency Variance Indicates That the Actual

Question 15

Multiple Choice

An unfavorable direct material efficiency variance indicates that the actual:


A) unit cost of the direct materials exceeded the standard unit cost of the direct materials.
B) total cost of the direct materials exceeded the total standard cost of the direct materials.
C) quantity of direct materials usedwas greater than the standard quantity of direct materials allowed for the budgeted production volume.
D) quantity of direct materials used was greater than the standard quantity of direct materials allowed for the actual production volume.

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