Question

The difference between actual and standard cost caused by the difference between the actual quantity and the standard quantity is called the: Group of answer choices Controllable variance. Standard variance. Budget variance. Quantity variance. Price variance.

Answer 1

Quantity variance.

Step-by-step explanation:

The difference between actual and standard cost caused by the difference between the actual quantity and the standard quantity is called the Quantity variance.

For instance, if Tony needs a standard quantity of 50 pounds of iron to construct a burglary, but only used 51 pounds, then the quantity variance is 1 pound of iron.

Hence, the quantity variance is simply the difference between the actual quantity of materials that should be used and the quantity of materials that was used.