Which of the Following Statements Regarding Variances Is Valid

question 27

Multiple Choice

Which of the following statements regarding variances is valid?

• A) Using higher quality material than standard could explain an adverse labour efficiency variance.
• B) Improved maintenance of production machinery could explain an adverse material usage variance.
• C) An adverse labour rate variance could explain a favourable labour efficiency variance.
• D) Poor supervision could explain a favourable labour rate variance.

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