A material cost variance can be further separated into the rate variance and the efficiency variance. True False When the actual quantity of direct materials used is more than the standard quantity, the company must have experienced a favorable direct materials quantity variance. True False A favorable direct materials price variance might lead to an unfavorable direct materials quantity variance because the company purchased inferior materials. True False One possible explanation for favorable direct labor rate and un favorable efficiency variances is the use of workers with lower skill levels. True False