A Favourable Materials Price Variance May Be Caused by

question 3

Multiple Choice

A favourable materials price variance may be caused by

• A)excessive rework.
• B)a special price offered by suppliers.
• C)use of experienced workers.
• D)none of the above.

---

Definitions:

Cash Payment

A transaction where the payment for goods or services is made using physical currency or through an immediate electronic transfer of funds.

Grand Opening Sale

A promotional event conducted to attract customers to a new business or service, offering products at reduced prices for a limited time to generate interest and traffic.

Letter of Credit

A financial document issued by a bank guaranteeing a buyer's payment to a seller within a specified timeframe.

International Sale

The transaction of goods or services across national borders, subject to international trade laws and regulations.