The ________ tells managers how much of the overall variance id due to paying a higher or lower price than expected for the quantity of materials it purchased.
A)production volume variance
B)overhead flexible budget variance
C)price variance
D)quantity variance

Question

Quizplus · Accepted Answer

The price variance specifically relates to the difference between the actual cost paid and the expected cost of materials. The other options (production volume variance, overhead flexible budget variance, quantity variance) do not directly relate to the cost of materials purchased.

The ________ Tells Managers How Much of the Overall Variance