A materials usage variance can be caused by all the following except:
A) The number of units produced during the period (i.e., output volume).
B) Performance of the workers in using the materials.
C) Quality of the materials.
D) Skill level of the workers using the materials.
E) Inadequate employee supervision.

Question

Quizplus · Accepted Answer

A materials usage variance is related to the quantity of materials used in the production process. Therefore, the number of units produced during the period (i.e., output volume) is not a factor that can cause a materials usage variance. The variance would be affected by factors such as the performance and skill level of workers, the quality of materials used, and inadequate employee supervision.

A Materials Usage Variance Can Be Caused by All the Following