1. The standard quantity allowed for the unit produced was 4,500 pounds, the standard price was $2.50 per pound, and the materials usage variance was $475 favorable. Each unit uses 1 pound of materials. How many units were actually produced? 2. Management by exception: a.) causes managers to be buried under voluminous paperwork. b.) means that material differences will be investigated. c.) means that all differences will be investigated. d.) means that only unfavorable differences will be investigated. 3. Management by exception: a.) can only be applied when comparing actual results with the master budget. b.) can be implemented at each level of responsibility within an organization. c.) is the opposite of goal congruence. d.) is most effective at top levels of management.