23) Which of the following is possible cause of an unfavorable material price variance? a)Purchasing higher- quality material b) Hiring substandard workers c) Buying substandard material d) Purchasing too much material

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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What is the answer for number 23?

d) $116,000
23) Which of the following is possible cause of an unfavorable material price variance?
a)Purchasing higher- quality material
b) Hiring substandard workers
c) Buying substandard material
d) Purchasing too much material
24) Kay Kay Inc established the following direct labor costs for one unit of Product D
Standard hours
15 hours
Standard rate
$20 per hour
Standard costs
$30(15 hours@$20 per hour)
During the month of June 20,000 direct labor hours were worked and 12,500 units of product
Totalwages relating to direct labor in June were $405,000.
Transcribed Image Text:d) $116,000 23) Which of the following is possible cause of an unfavorable material price variance? a)Purchasing higher- quality material b) Hiring substandard workers c) Buying substandard material d) Purchasing too much material 24) Kay Kay Inc established the following direct labor costs for one unit of Product D Standard hours 15 hours Standard rate $20 per hour Standard costs $30(15 hours@$20 per hour) During the month of June 20,000 direct labor hours were worked and 12,500 units of product Totalwages relating to direct labor in June were $405,000.
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