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Favorable price variance may indicate to:

1- change in purchased goods price2- low quality of purchased goods3- high efficiency of purchasing section4- all answers are correct

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Question added by Ahmed kandil , Cost Controller , Battour Holding Cpompany
Date Posted: 2015/03/12
FITAH MOHAMED
by FITAH MOHAMED , Financial Manager , FUEL AND ENERGY CO for transportion petroleum materials

4->>>>>>>>>>>>>>>> all answers are correct

VENKITARAMAN KRISHNA MOORTHY VRINDAVAN
by VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.

1- change in purchased goods price (upward changes).

Malik Waqas
by Malik Waqas , Assistant Manager, Finance and Accounts , Shifa International Hospital Limited

Its3 - high efficiency of purchasing section..

 

As change in purchased goods price may be increased or decreased. So in case of less costly goods if prices increases then its unfavorable and vice verse.

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