The Standard Price and Quantity of Direct Materials Are Separated

question 14

Multiple Choice

The standard price and quantity of direct materials are separated because

• A) GAAP and IFRS reporting requires separation
• B) direct materials prices are controlled by the purchasing department and quantity used is controlled by the production department
• C) standard prices are more difficult to estimate than standard quantities
• D) standard quantities change more frequently than standard prices

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Definitions:

Medicare

A federal health insurance program in the United States mainly for people aged 65 and older, as well as for some younger people with disabilities.

Prima Facie Case

An established set of facts in a legal proceeding that is sufficient to prove a case unless it is rebutted by contrary evidence.

Disparate Treatment

An intentional form of discrimination where individuals are treated differently based on their protected characteristics, such as race or gender.

Discrimination

Unfair or unequal treatment of individuals or groups based on characteristics such as race, gender, age, or sexual orientation.