Justin Company Recently Purchased Materials from a New Supplier at a Very

question 29

Multiple Choice

Justin Company recently purchased materials from a new supplier at a very attractive price. The materials were found to be of poor quality, and the company's labourers struggled significantly as they shaped the materials into finished product. In a desperation move to make up for some of the time lost, the manufacturing supervisor brought in more senior employees from another part of the plant. Which of the following variances would have a low probability of arising from this situation?

• A)Material price variance, favourable.
• B)Material quantity variance, unfavourable.
• C)Labour rate variance, unfavourable.
• D)Labour efficiency variance, unfavourable.
• E)Fixed overhead volume variance.

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Definitions:

Emotional Reactions

The emotional responses triggered by stimuli or events, which can range from joy, sadness, anger, to fear.

Psychoanalytic View

A theory in psychology introduced by Freud, which emphasizes unconscious motives and conflicts as drivers of human behavior.

Love Object

An individual who is the focus of another's deep affection or love, often influencing their emotions and behaviors.

Reinforcer

Any stimulus that strengthens or increases the probability of a specific response by providing a consequence an individual finds rewarding.