Which of the Following Statements Is True of a Barter

question 81

Multiple Choice

Which of the following statements is true of a barter system?

• A)In a barter system,an individual offers one good or service to get another good or service.
• B)In a barter system,an individual offers money to get a good or service.
• C)In a barter system,an individual offers a good or service to get money.
• D)In a barter system,different kinds of money are exchanged for one another.
• E)In a barter system,all individuals are self-sufficient.

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Definitions:

Labor Efficiency Variance

The difference between the actual labor hours used and the standard hours expected for the production level achieved.

Materials Quantity Variance

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

Standard Material

The predetermined quantity and cost of materials expected to be used in producing a unit of product, used as a benchmark for cost control.

Materials Price Variance

The difference between the actual cost of materials and the expected (standard) cost of materials used in production.