The Flexible-Budget Variance for Materials Is $2,000 (U)

Multiple Choice

The flexible-budget variance for materials is $2,000 (U) . The sales-volume variance is $18,000 (U) . The price variance for material is $38,000 (F) . The efficiency variance for direct manufacturing labor is $12,000 (F) . Calculate the efficiency variance for materials.

A) $40,000 favorable
B) $18,000 unfavorable
C) $6,000 favorable
D) $40,000 unfavorable