Purchase of poor quality materials may cause a favorable materials price variance and an unfavorable labor efficiency variance.

Name: Purchase of poor quality materials may cause a favorable materials price variance and an unfavorable labor efficiency variance.
Brand: Quizplus
Rating: 4.9 (42 reviews)

Question

Quizplus · Accepted Answer

Poor quality materials may be cheaper, leading to a favorable materials price variance, but they may require more labor to use or may result in more rework, leading to an unfavorable labor efficiency variance.

Purchase of Poor Quality Materials May Cause a Favorable Materials