COST ACCOUNTING
STANDARD COSTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Which of the following cannot be a reason of unfavorable direct materials quantity variance?
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Unmotivated workers
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Lack of supervision
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Frequent power failures
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Uneconomical order size
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Explanation:
Detailed explanation-1: -The correct answer is d) increased material cost per unit.
Detailed explanation-2: -Which of the following is least likely to cause an unfavorable materials quantity (usage) variance? Labor that possesses skills equal to those required by the standards.
Detailed explanation-3: -Total Direct Materials Cost Variance An unfavorable outcome means the actual costs related to materials were more than the expected (standard) costs. If the outcome is a favorable outcome, this means the actual costs related to materials are less than the expected (standard) costs.
There is 1 question to complete.