Which is to be the result of buying the inferior materials

Assignment Help Cost Accounting
Reference no: EM132548866

Question 1: Raw materials purchased had a lower price than the standard price. The materials were found to be of inferior quality. Accordingly, each unit of product consumed more materials than the amount that should have been used. Direct labor workers ended up taking longer to complete products because the inferior materials got jammed in the machinery, and slowed down machinery. Which of the following is likely to be the result of buying these inferior materials?

Group of answer choices

Option 1: An unfavorable direct labor efficiency variance

Option 2: A favorable direct materials price variance

Option 3: An unfavorable direct materials quantity variance

Option 4: All variances shown here

Reference no: EM132548866

Questions Cloud

Which never allocated to operating departments : Which of the following is NOT likely to happen if the costs of support departments are never allocated to operating departments?
How an industry with this particular market structure : Should government be worried about any aspect of how an industry with this particular market structure will perform?
Describe the main characteristics of the profit centres : Describe the main characteristics and objectives of the profit centres and investment centres. describe the main behavioural and control consequence
Compare the accounting and finance balance sheets : Explain why the book value of debt might not reflect the current cost of debt for the company.
Which is to be the result of buying the inferior materials : Which is to be the result of buying the inferior materials? The materials, Raw materials purchased had a lower price than the standard price.
How much money would the company make : If the paper mill were forced to transfer at marginal cost, how much money would the company make?
Which is false regarding normal costing systems : Which is false regarding normal costing systems? A normal costing system has less capacity for cost control and management than a standard costing system.
Which is false regarding variances : Which is false regarding variances? Favorable variances occur whenever actual prices or actual usage of inputs are lower than standard prices or standard usage.
Key macroeconomic variables : An abrupt house price crash sends shockwaves throughout the economy.

Reviews

Write a Review

Cost Accounting Questions & Answers

  Cost accounting assignment

Evaluate Method of measuring costs associated with production, budgeting process, normal job-order costing system , master budget, cycle time.

  Prepare the journal entries

Prepare the journal entries to record the bond issue and interest expense.

  Advise as to the liability of all the parties

Write a report on given case study and Advise as to the liability of ALL the parties both under common law and the Corporations Law.

  Prepare revenues budget

Prepare Revenues budget and Production budget in units

  Effect of exchange rate changes on cash and cash

Effect of exchange rate changes on cash and cash

  Corporate governance

You are to reflect on how this case of China Sky relates to what the arguments for and against allowing audit firm partners and/or employees to join audit committees.

  Cost-benefit analysis

A cost-benefit analysis of electronic medical records in primary care

  Non-annual interest rates and annuities

Theory of Interest- Non-annual interest rates and annuities

  Job costing in service organizations

How is job costing in service organizations different from job costing in manufacturing environments?

  Accounting for bad debt expense

Accounting for bad debt expense

  Accounting and partnership problems

Accounting and Partnership problems

  Development of relevant cash flows

Development of relevant cash flows - Cost estimating and financial analysis

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd