Assume that the company's materials price variance was favorable and its materials usage variance was unfavorable. Explain why Mr. Richardson may not be responsible for these variances. Now, explain why he may have been responsible for the materials usage variances.

F. Assume the labor price variance is unfavorable. Was the labor usage variance favorable or unfavorable?

F. Assume the labor price variance is unfavorable. Was the labor usage favorable or unfavorable?

G. Is the fixed cost volume variance favorable or unfavorable? Explain the effect of this variance on the cost of each unit produced.

Answer rating: 100% (QA)

Certainly lets go through each of the scenarios youve presented A Assuming the companys materials price variance was favorable and the materials usage variance was unfavorable Why Mr Richardson may no... View the full answer