The Production Manager of CLR Calculated a Material and Unfavorable

question 23

Multiple Choice

The production manager of CLR calculated a material and unfavorable variance of $4,000 with respect to the cost of direct materials. Which of the following is a likely next step for the production manager?

• A) Identify and discipline the responsible employee
• B) Take actions to prevent the variance from recurring
• C) Ascertain the cause of the variance
• D) Switch suppliers for direct materials

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Definitions:

Rawls

A philosopher named John Rawls, famous for his theories of justice, including the principles of 'justice as fairness.'

Theory

A systematic set of ideas intended to explain facts or phenomena, often based on principles independent of the things to be explained.

Least Advantaged

Those individuals or groups in society with the fewest resources, opportunities, and support, often marginalized in socio-economic terms.

Rawls

A philosopher known for his theory of justice as fairness, emphasizing the principles of equality and the distribution of resources to benefit the least advantaged in society.