Question

If poor production quality control leads to inferior goods that are difficult to sell, the unfavorable volume variance would be the responsibility of the:

A) Marketing department
B) Production department
C) Finance department
D) Human resources department

Answer 1

The responsibility for an unfavorable volume variance caused by poor production quality control lies with the production department.

Step-by-step explanation:

The correct answer is B) Production department.

Poor production quality control refers to the failure to maintain proper standards and procedures during the manufacturing process, resulting in inferior goods. The responsibility for ensuring quality control lies primarily with the production department. If the production department fails to detect and address issues, such as defects or deviations from specifications, it can lead to the production of goods that are difficult to sell.

For example, if a production department overlooks faulty equipment or neglects to train employees on proper quality control measures, it can result in a higher number of defective products that are challenging to sell in the market. Therefore, the unfavorable volume variance, which reflects the difference between the actual volume of goods produced and the expected volume, would be the responsibility of the production department.