If a company has an unfavorable direct-material quantity variance, then:
A)the direct-material price variance is favorable.
B)the total direct-material variance is unfavorable.
C)the total direct-material variance is favorable.
D)the direct-labor eﬃciency variance is unfavorable.
E)any of the other answers can occur.

Question

Quizplus · Accepted Answer

An unfavorable direct-material quantity variance indicates more material was used than expected, but it doesn't determine the direct-material price variance or total variance, nor does it directly affect labor efficiency. Any of the other scenarios could occur depending on other factors.

If a Company Has an Unfavorable Direct-Material Quantity Variance, Then