If the Actual Cost Per Pound of Direct Material Is

question 84

Multiple Choice

If the actual cost per pound of direct material is less than the standard cost per pound,there is:

• A)A favorable materials price variance.
• B)An unfavorable materials price variance.
• C)A favorable materials quantity variance.
• D)A favorable total materials variance.

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Definitions:

Bank Statement

A monthly summary provided by a bank, detailing all transactions that have occurred in an account.

Adjusted Cash Balance

A cash balance figure that has been adjusted for checks or deposits in transit, presenting a more accurate financial position.

Accountant

A professional who performs accounting functions such as audits or financial statement analysis.

Cash Receipts

The collection of money, typically currency and checks, received by a business during a specified period.