Qwax Limited had a poor March quarter after producing and selling only 95% of the budgeted number of units. A reconciliation of actual and budgeted profit for Qwax Limited shows an adverse sales price variance and a favourable direct material usage variance. What circumstances might have caused these variances?

Qwax Limited had a poor March quarter after producing and selling only 95% of the budgeted number of units. A reconciliation of actual and budgeted profit for Qwax Limited shows an adverse sales price variance and a favourable direct material usage variance. What circumstances might have caused these variances?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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None
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