Ask Question
4 June, 14:09

A favorable efficiency variance for direct materials might indicate:

A. that lower-quality materials were purchased

B. an overskilled workforce

C. poor design of products or processes

D. a lower-priced supplier was used

+5
Answers (1)
  1. 4 June, 16:44
    0
    B. an overskilled workforce

    Explanation:

    The efficiency variance is the difference between the projected and actual amount of resources needed to produce a unit of output. So, if the efficiency variance is favorable, it means that less material is used than it was planned according to historical data.

    Among the following, the only answer indicating a favorable efficiency rate is an overskilled workforce. It is possible that the product is manufactured with less materials than planned, if the workforce uses the material in an extremely efficient manner.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “A favorable efficiency variance for direct materials might indicate: A. that lower-quality materials were purchased B. an overskilled ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers