Chapter 22 – Goals Achievement
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The materials quantity variance is computed by comparing the actual quantity of materials used to the standard quantity of materials which should have been used for the production achieved. Which prices should be used in this comparison?CorrectIncorrect
If overhead is applied on the basis of direct labor hours, then the variable overhead efficiency variance calculations incorporate the same number of actual and standard hours as used in the computation of the direct labor variances.CorrectIncorrect