A Company Provided the Following Direct Materials Cost Information

question 126

Multiple Choice

A company provided the following direct materials cost information.Compute the direct materials price variance.

• A)$81,000 Favorable.
• B)$81,000 Unfavorable.
• C)$80,750 Unfavorable.
• D)$80,750 Favorable.
• E)$78,250 Favorable.

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Definitions:

Confidence Level

The degree of certainty or probability with which a parameter of a population is estimated.

Sample Size

The number of observations or data points that are included in a sample for analysis.

Standard Deviation

A measure of the dispersion or variation in a set of values, indicating how spread out the values are from the mean.

Confidence Level

The likelihood that a confidence interval encompasses the actual population parameter.