Global Company Makes a Product That Is Expected to Use

question 15

Multiple Choice

Global Company makes a product that is expected to use 2.2 pounds of material per unit of product.The material has a standard cost of $2 per pound.Global actually used 2.3 pounds of material per unit of product made in January.The actual cost of material was $1.95 per pound.Based on this information alone,the materials variances for the January production would be:

• A) Favorable for price and unfavorable for usage.
• B) Unfavorable for price and favorable for usage.
• C) Unfavorable for price and unfavorable for usage.
• D) Favorable for price and favorable for usage.

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Definitions:

Notify

To formally alert or inform someone about something, typically requiring attention or action.

Primary Care Provider

A healthcare professional who acts as the first point of consultation for all patients within the healthcare system.

Hypertension

A chronic medical condition where the blood pressure in the arteries is persistently elevated, increasing the risk of heart, brain, kidney, and other diseases.

Manometer

An instrument used to measure the pressure of gases or liquids, often utilized in medical and engineering applications.