Tommy's Toys Produces Two Types of Toys: Trains and Dolls

question 171

Multiple Choice

Tommy's Toys produces two types of toys: trains and dolls. Tommy's uses stainless steel to manufacture the trains and plastic to manufacture the dolls. Information regarding the usage of steel and plastic for the past year follows: What is the direct material quantity variance for plastic in the dolls?

• A)$378 favorable
• B)$1,422 favorable
• C)$378 unfavorable
• D)$1,422 unfavorable

Describe practices for sustainable agriculture and how they mitigate environmental impacts.

Explain the role of genetically modified organisms (GMOs) in agriculture and their potential benefits and risks.

Understand the impact of modern agricultural practices on soil health and water pollution.

Identify strategies for reducing erosion and enhancing soil conservation, including contour farming and terracing.

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Definitions:

Materials Quantity Variance

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

Standard Direct Materials

The pre-determined amount and cost of raw materials used in the production of a product.

Variance

The difference between planned (budgeted) and actual figures in financial and operational contexts, identifying discrepancies.

Standard Costs

Predetermined costs assigned to goods and services, used as benchmarks to measure performance by comparing them with actual costs.