If We Find That There Is a Positive Correlation Between

question 32

Multiple Choice

If we find that there is a positive correlation between variable x and variable y, which of the following is true?

• A) X causes y.
• B) Y causes x.
• C) There are common-causal variables that cause both x and y.
• D) Any of the above possibilities may be correct.

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Definitions:

Labor Rate Variance

The difference between the actual cost of labor and the budgeted or standard cost, reflecting inefficiencies in wage rate management.

July

The seventh month of the Gregorian calendar, typically associated with the height of summer in the northern hemisphere.

Materials Quantity Variance

The difference between the actual quantity of materials used in production and the standard amount expected to be used, multiplied by the standard cost per unit.

Materials Quantity Variance

The variance between the actual amount of materials utilized in manufacturing and the anticipated amount, multiplied by the established unit cost.