Which Statement Best Describes Variances

question 54

Multiple Choice

Which statement best describes variances?

• A) A favourable labour rate variance could result from lower wage workers quitting.
• B) A favourable materials price variance could result from purchasing materials from another supplier at a lower price.
• C) A favourable materials usage variance could result from increased waste caused by not efficiently utilizing raw materials.
• D) An unfavourable labour efficiency variance could result from using higher quality materials that result in fewer inspections.

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Definitions:

Bodily Needs

Basic physiological requirements for human survival, such as food, water, shelter, and sleep.

Reciprocity

The practice of exchanging things with others for mutual benefit, especially in social and emotional contexts.

Arousal Theory

A theory in psychology that proposes individuals are motivated to maintain an optimal level of arousal.

Optimal Level

The most favorable or desirable degree of efficiency, concentration, or condition for a particular process or function.