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Management · Q136

Management Accounting

Graduate and Post Graduate · Management · question 136

Q136

If actual input price is 150 and budgeted input price is 80, then price variance will be

A.
$130
B.
$70
Answer
C.
$150
D.
$80

Answer: Option B

Solution

Answer: Option B
Solution:
Price variance = Actual price input - Budgeted price of input
= 80 = $70.