The Standard Quantity of Materials for a Product Was 62

question 57

Multiple Choice

The standard quantity of materials for a product was 62 pounds per unit at the standard price of $3) 10 per pound. The actual price per pound of materials was $3.25, and the actual quantity used was 67 pounds. An analysis would indicate

• A)a $10.05 favorable price variance.
• B)a $15.50 unfavorable quantity variance.
• C)a $9.30 unfavorable price variance.
• D)a $16.25 unfavorable quantity variance.

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Definitions:

Resource Conservation and Recovery Act Permit

A permit required under the Resource Conservation and Recovery Act (RCRA) for certain operations that generate, treat, store, or dispose of hazardous waste.

Precautionary Principle

A strategy to cope with possible risks where scientific understanding is yet incomplete, prioritizing the prevention of harm when making decisions.

Regulatory Scheme

A system of regulations established by governments or regulatory bodies to control or govern specific activities, industries, or behaviors.

ISO 14001

An international standard that outlines the requirements for an effective environmental management system (EMS).