When Computing Standard Cost Variances, the Difference Between Actual and Standard

question 61

Multiple Choice

When computing standard cost variances, the difference between actual and standard prices multiplied by actual quantity yields a(n) : (CMA adapted)

• A) combined price and quantity variance.
• B) efficiency variance.
• C) price variance.
• D) quantity variance.

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Definitions:

Tax Increase

A rise in the percentage of income, sales, or assets that individuals or businesses must pay to the government.

Government Reorganization

The process of restructuring the operations and structure of governmental bodies to improve efficiency and effectiveness.

Defence Spending

Refers to the allocation of government funds specifically for military and defense purposes.

Berlin Airlift

A military operation in 1948-1949 by which the United States and its allies delivered food and supplies to West Berlin while it was blockaded by the Soviet Union.