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An adverse material usage variance together with a favourable materials price variance could suggest that:

a. We are using less materials than expected but in total we are paying more than we should b. We are paying higher prices for our materials than expected c. We are paying less for our materials than expected but we are using more materials d. We are paying the same for our materials but we are using more than expected

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Question added by Vinod Jetley , Assistant General Manager , State Bank of India
Date Posted: 2014/10/31
Vinod Jetley
by Vinod Jetley , Assistant General Manager , State Bank of India

c. We are paying less for our materials than expected but we are using more materials

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