Which of the following variances are most similar with respect to the manner in which they are calculated?
A)Labor rate variance and labor efficiency variance.
B)Material price variance and material quantity variance.
C)Material price variance,material quantity variance,and total material variance.
D)Material price variance and labor rate variance.
E)Material price variance and labor efficiency variancE.

Question

Quizplus · Accepted Answer

Both material price variance and labor rate variance are calculated by comparing the actual price/rate to the standard price/rate, multiplied by the actual quantity/hours used.

Which of the Following Variances Are Most Similar with Respect