The variance that is most useful in assessing the performance of the purchasing department manager is:
Group of answer choices:
A. the materials price variance
B. the direct labor efficiency variance
C. the direct labor rate variance
D. the materials quantity variance
The variance that is most useful in assessing the performance of the purchasing department manager is the materials price variance |
The purchasing department manager is responsible for material purchases and is accountable for variation is prices of materials prurchased. |
The performance of the purchasing department manager would be considered good when prices of materials purchased is within standard. |
Option A the materials price variance is correct |
The variance that is most useful in assessing the performance of the purchasing department manager is:...
11) If a company pays their factory workers an hourly wage less than expected, which variance would this affect? A) The labor rate variance B) The materials price variance C) The labor efficiency variance D) The materials quantity variance 12) If a company shows a materials price variance, the manager that is usually responsible would be the A) Advertising Manager B) Purchasing Manager C) Sales Manager D) Labor Manager 13) Jackson Corporation uses a labor force that is usually paid...
In a large corporation, the purchasing manager is usually responsible for Group of answer choices the material quantity variance. the material price variance. the labor rate variance. all of the above.
11. A customer requested that PaperMate Corporation fill a special order for 3,000 units of product Q41 for $25.00 a unit. While the product would be modified slightly for the special order, product Q41's normal unit product cost is $21.40: Direct materials $5.70 Direct labor 3.40 Variable manufacturing overhead 5.80 Fixed manufacturing overhead 6.50 Unit product cost $21.40 The special order would have no effect on the company's total fixed manufacturing overhead costs. The customer would like modifications made to...
Question 25)A company's production department was experiencing a high defect rate on the assembly line, which was slowing down production and causing wastage of valuable direct materials. The production manager decided to recruit some highly skilled production workers from another company to bring down the defect rate but was worried that the higher wages of these workers might negatively affect operating income. This would produce a(n) A) Unfavorable direct materials cost variance B)Unfavorable direct labor cost variance c)Unfavorable direct labor...
Which of the following is not true of the use of materials variance information? a. The production manager is generally responsible for materials usage. b. The production manager is concerned with minimizing scrap, waste, and rework. c. The purchasing department is responsible for acquiring quality materials. d. The purchasing agent has the responsibility for controlling the materials price variance. e. All of these choices are true.
The Two Components of the direct labor flexible budget variance are the: a. the direct labor price variance and the direct labor quantity variance. b. the direct labor rate variance and the direct labor efficiency variance. c. the direct labor rate variance and the direct labor standard variance. d. the direct labor efficiency variance and the direct labor standard variance. (The answer is not C.)
The labor efficiency variance is the responsibility of: O Purchasing manager O Production manager O Payroll manager O The accountant
The company applies the standard cost system and the purchasing manager and production manager are responsible for the variance of direct materials and direct wages .The standard price per ton of basic raw material is 4 $ and the standard allowable quantity is 6 tons per unit .The average hourly wage is 14 $ and the standard unit needs 0.5 hours Action. During the last week, production reached 10,000 units. Due to labor shortage, the production manager was forced to...
Static Plexible Volume Purchasing manager Favorable Unfavorable Debit Credit Fixed overhead budget Fixed overhead volune Spending Production manager Variable overhead rate Variable overhead effieiency Fixed overhead spending Ixed overhead spending 1. A budget is based on a fixed estimate of sales volume. A volume 2. variance represents the difference between actual and expected levels of activity 3. The is typically responsible for the direct materials quantity variance The variable overhead rate variance is 4 when the actual variable overhead rate...
M ODUCTION TO MANAGEMENT ACCOUNTING Problem 4: Standard Costing & Variance Analysis (15 Points) ummm Sushi Company makes fresh box lunches daily that sell for $6.00 each. Each lunch has the following standard costs: Standard Standard Quantity or Hours Price or Rate Direct Materials ........ ... 0.5 lbs. $6.00 per lb. Direct Labor ................ 0.1 hour $ 10.00 per hour Variable Overhead ... 1.0 box $ 0.50 per box The company has no beginning inventories and achieved its target sales...