A favorable direct materials price variance indicates which of the following?
A) The actual cost of materials purchased was greater than the standard cost of materials purchased.
B) The standard cost of materials purchased was less than the actual cost of materials purchased.
C) The actual quantity of materials used was less than the standard quantity of materials used for actual production.
D) The standard cost of materials purchased was greater than the actual cost of materials purchased.
Correct Answer:
Verified
Q24: A favorable direct materials price variance and
Q31: A company uses sugar in producing its
Q32: Which of the following situations would lead
Q33: The direct materials price variance is calculated
Q34: Raw material, ruined through mistakes during production,
Q34: A direct materials flexible budget variance can
Q35: A company's purchasing department negotiates all of
Q37: A quantity variance for production inputs is
Q38: Which variance is directly impacted if a
Q50: Myles Company budgeted 10,500 pounds of direct
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents