From the variance analysis we find a favorable material price variance of 280 and an unfavorable quantity

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From the variance analysis we find a favorable material price variance of €280 and an unfavorable quantity variance of €180. Based on these variances, which of the following statements is true?

a) The actual unit price for materials is lower than the standard unit price.

b) The actual usage of materials was less the standard allowed.

c) More material was purchased than there were used.

d) More materials were used than purchased.r

Related Book For answer-question

Core Concepts of Accounting

ISBN: 978-0470499474

2nd edition

Authors: Cecily A. Raiborn

Posted Date: Jul 17, 2022 10:53 AM

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From the variance analysis we find a favorable material price variance of 280 and an unfavorable quantity

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It is true that the actual unit price for materials is lower than the standard ... View the full answer

Core Concepts of Accounting

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