alleryStart learning →Standard quantity for output is 480 kg; 500 kg used; std price Rs 10. Usage variance?
ARs 4,800 adverse
BRs 5,000 favourable
CRs 200 adverse
DRs 200 favourable
Answer & Solution
Correct answer: C. Rs 200 adverse
Excess usage of 20 kg at the standard price of 10 gives 200, adverse because more material was used than allowed.
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