Which of the Following Could Not Be a Possible Cause

question 3

Multiple Choice

Which of the following could not be a possible cause of an adverse (unfavourable) materials usage variance?

• A)Faulty machinery.
• B)Poor quality materials.
• C)An increase in the price of the raw materials.
• D)Inexperienced workers.

---

Definitions:

Divisions

Subsets within a company that focus on specific operational areas or markets.

Market Portfolio

A theoretical bundle of all possible investments, with each asset weighted by its market capitalization, representing the entire stock market.

Expected Return

The anticipated profit or loss from an investment over a certain period, typically represented as a percentage.

Risk-Free Asset

An investment expected to return its original value without any loss and with absolute certainty, typically associated with government bonds.