Which of the Following Can Be a Reason for a Favorable

question 91

Multiple Choice

Which of the following can be a reason for a favorable price variance for direct materials?

• A) a decrease in the price of materials due to an oversupply of materials
• B) an unexpected increase in the price of materials
• C) less amount of material used during production than planned for actual output
• D) workers taking less time to produce the products

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Definitions:

Dominant Strategy

A strategy in game theory that is the best action for a player irrespective of what the opponent does.

Tit-For-Tat

A strategy in game theory where a participant replicates the opponent's previous action, as in a retaliatory or cooperative manner.

Repeated Game

A game-theory concept involving the same game played multiple times, where outcomes can be affected by previous games.

Cournot Model

An economic model used to describe an industry structure in which companies compete on the amount of output they will produce, which they decide upon independently and at the same time.