A Favorable Direct Materials Quantity Variance Indicates Which of the Following

question 251

Multiple Choice

A favorable direct materials quantity variance indicates which of the following?

• A)The actual cost of direct materials was less than the standard cost of direct materials.
• B)The Standard Quantity (SQ)of direct materials for actual output was less than the Actual Quantity (AQ)of direct materials used.
• C)The Actual Quantity (AQ)of direct materials used was less than the standard quantity for actual output.
• D)The Actual Quantity (AQ)of direct materials used was greater than the standard quantity for budgeted output.

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Definitions:

Meditative

Pertaining to or involving meditation, a practice of focused attention to achieve a mentally clear and emotionally calm state.

Structural Configuration

The arrangement of roles, responsibilities, and relationships within an organization, determining how it is organized and how it functions.

Simple Organization Design

An organizational structure characterized by low complexity, few hierarchical levels, and wide spans of control.

Dominant Technologies

The leading technologies in a particular field or industry that have widespread adoption and set the standard for operations and products.