When materials are purchased, which of the following accounts could be affected?
A) Direct materials efficiency variance
B) Work in Process Inventory
C) Direct materials price variance
D) Variable Overhead efficiency variance
E) Two of the above

Question

Quizplus · Accepted Answer

When materials are purchased, the direct materials price variance account could be affected as it measures the difference between the actual cost of materials and the standard cost.

When Materials Are Purchased, Which of the Following Accounts Could