A Favorable Materials Price Variance Coupled with an Unfavorable Materials

question 15

Multiple Choice

A favorable materials price variance coupled with an unfavorable materials usage variance would most likely result from: (CMA adapted)

• A) machine efficiency problems.
• B) product mix production changes.
• C) labor efficiency problems.
• D) the purchase of lower-than-standard-quality materials.

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Definitions:

Sensory Adaptation

The method through which sensory receptors decrease in sensitivity to unchanging stimuli as time progresses.

Synaesthesia

A perceptual condition in which stimulation of one sensory pathway leads to automatic, involuntary experiences in a second sensory pathway.

Subliminal Perception

The operation of sensory systems in handling information without the individual's conscious recognition.

Just-noticeable Difference

The smallest change in the intensity of a stimulus that can be detected by a sensory system, also known as the difference threshold.