Cavern Company's Output for the Current Period Results in a $5,250

question 114

Multiple Choice

Cavern Company's output for the current period results in a $5,250 unfavorable direct material price variance.The actual price per pound is $56.50 and the standard price per pound is $55.00.How many pounds of material are used in the current period?

• A)5,393.
• B)5,110.
• C)3,500.
• D)3,750.
• E)4,000.

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Definitions:

Predetermined Point

A specific goal, outcome, or condition that is decided in advance before any action is taken.

Balanced Scorecards

A strategic planning and management system used by organizations to align business activities with the vision and strategy of the organization, improve internal and external communications, and monitor organizational performance against strategic goals.

Financial Performance

An assessment of how well an organization uses its assets from its primary mode of business and generates revenues.

Managerial Review Tool

A system or process used by managers to evaluate performance, set objectives, or make strategic decisions.