Management Accounting Test Questions
Q. In a manufacturing firm, the standard quantity of material was set at 10 kg and standard price was fixed at Rs. 2 per kg. The actual quantity consumed was 12 kg and the actual price paid was Rs 1.90 per kg. Determine material usage variance.
a. Rs 4 favorable
b. Rs 4 unfavorable
c. Rs 2.80 unfavorable
d. Rs 1.20 favorable
No explanation is available for this question!