The Algebraic Equation for the Direct Materials Quantity Variance Is

question 56

Multiple Choice

The algebraic equation for the direct materials quantity variance is

• A)direct materials quantity variance = AQused × (AP - SP)
• B)direct materials quantity variance = SQused × (AP - SP)
• C)direct materials quantity variance = SP × (AQused - SQ)
• D)direct materials quantity variance = AP × (AQused - SQ)

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Definitions:

Accounts Receivable-Kagome

This term might refer to the outstanding invoices or money owed to the Kagome company by its customers for goods or services delivered.

Foreign Exchange Rate

The price at which one currency can be exchanged for another currency.

International Customer

A customer based in a country different from the one where the seller or service provider is located, often involving cross-border transactions.

Credit Sale

A transaction where goods or services are provided to a customer with the agreement that payment will be made at a later date.