Is the Total Material Price Variance Favorable or Unfavorable

question 77

Multiple Choice

Is the total material price variance favorable or unfavorable?

• A)favorable.
• B)unfavorable.

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Definitions:

Credit Entry

An accounting entry that increases a liability or equity account or decreases an asset or expense account.

Service Revenue

Income earned by a company for services provided to customers or clients.

Credit Side

Refers to the right side of a ledger account and is where increases in liabilities, equity, and revenue are recorded.

Total Liabilities

The total amount of obligations owed by a company to third parties, including loans, accounts payable, mortgages, and other debts.