Which of the following are possible causes of a favourable direct materials price​ variance?Group of answer choicesAll of the above are causes of a favourable direct materials price variance.Materials prices increased unexpectedly due to industry shortage.The purchasing manager bought in smaller lot sizes than​ budgeted, thus not obtaining the purchase discounts that were factored in the budget.None of the given choices are correctMaterials prices decreased unexpectedly due to industry oversupply.

All of these are possible reasons for a favourable materials cost variance, except:Group of answer choicescost savings on the purchase of materials.an overestimation of materials usage in the original budget.the more efficient use of materials.an increase in production above budget.

Which of the following statements is true?The materials price variance is computed based on the amount of materials purchased during the period.The standard price per unit for direct materials should reflect the final, delivered cost of the materials.In general, the production manager is responsible for the materials price variance.An unfavorable materials quantity variance occurs when the actual quantity used in production is less than the standard quantity allowed for the actual output of the period.Multiple ChoiceBoth statements 1one and 2 are true.Both statements 2 and 3 are true.All of the statements are true.None of the statements are true.

The materials price variance is the difference between the actual price of materials Blank______.Multiple choice question.times the actual quantity of materials and the standard price of materials times the standard quantity allowed for productionand the standard price for materials with the difference multiplied by the standard quantity of material allowedand the standard price for materials with the difference multiplied by the actual quantity of materials

The main factors that can cause a variance include the following. Select all that apply.Multiple select question.sales varianceprice variancequantity variancetime variance

Given the following information, calculate the materials price variance:Direct material purchased and used 30,000 kgCost of direct material $84,000Unfavourable direct materials usage variance $3,000Standard quantity of direct materials allowed for May production 29,000kg