Liability for Loss and Damage Is One Factor Used to Determine

question 35

Multiple Choice

Liability for loss and damage is one factor used to determine a product's freight classification.Which of the following is not a loss and damage consideration?

• A)a commodity's propensity to damage other freight
• B)the ability to load freight on top of a commodity
• C)the perishability of a commodity
• D)a commodity's value

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Definitions:

Direct Materials Price Variance

The difference between the actual cost of direct materials and the expected cost at standard prices.

Actual Price

The price at which goods or services are sold, reflecting current market conditions.

Standard Price

A predetermined cost serving as a benchmark for the valuation of goods and services in accounting and budgeting.

Unfavorable Cost Variance

A situation where actual costs exceed standard or planned costs, indicating inefficiencies or increased expense.