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One Variance Often Influences Another Variance

Question 106

Multiple Choice

One variance often influences another variance.If the direct materials price variance is favorable,then it is possible that this variance will cause ________.


A) the direct materials quantity variance to be unfavorable
B) the direct labor price variance to be unfavorable
C) the direct labor price variance to be favorable
D) the direct materials quantity variance to be favorable

Correct Answer:

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