Which department is often responsible for the direct materials price variance?
a. The accounting department
b. The purchasing department
c. The production department
d. The finance department
e. The budgeting department
Which department is often responsible for the direct materials price variance?
a. The accounting department
b. The purchasing department
c. The production department
d. The finance department
e. The budgeting department
Related questions
| MULTIPLE CHOICE: Use the following information for questions 12-14 Healthy Co. has the following standard cost to produce a kingsize party sub. DM 4 lbs @ $3.00 per lb. = $12.00 per sub DL ½ hour @ $8.00 per hour = $4.00 per sub During December, Healthy Co. produced 1,000 party subs, boughtand used 4,100 of meat at $3.20 per lb. and used 490 hours of laborat a total cost of $4,018. |
| 12. What is the direct material price variance? A. $800 favorable B. $820 unfavorable C. $800 unfavorable D. $820 favorable |
| 13. What is the direct labor rate variance? A. $98 favorable B. $98 unfavorable C. $100 favorable D. $100 unfavorable |
| 14. What is the direct labor efficiency variance? A. $80 favorable B. $80 unfavorable C. $82 favorable D. $82 unfavorable |
| 15. In capital budgeting decisions, the focus is on: A. Cash flow B. Accounting net income C. Working capital D. Inventory E. Raw material |
| 16. Which department may be responsible for an unfavorablematerials quantity variance? A. finance department B. production department C. purchasing department D. sales department |
