Which of the Following Would Be a Feasible Explanation for an Unfavorable

question 14

Multiple Choice

Which of the following would be a feasible explanation for an unfavorable direct materials quantity variance?

• A)Purchased more materials than specified because the larger quantity resulted in a price discount
• B)Purchased a higher-quality material than specified in the standard
• C)A machine that was out of alignment caused several units of product to be scrapped
• D)Only higher-paid experienced factory workers were assigned to the product

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Definitions:

Chi-Squared Critical Value

A point on the chi-squared distribution that is associated with a specified level of significance, used in hypothesis testing.

Degrees of Freedom

The count of autonomous variables or numbers that can be linked to a statistical distribution.

Standard Deviations

Measures of the amount of variation or dispersion of a set of values, indicating how spread out the values are from the mean.

Population Variances

A measure of the dispersion of a population data set, representing the average of the squared differences from the Population Mean.