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Variance and Control Purposes

If it is to be most useful for control purposes, what variance should be reported to the supervisor responsible for the number of pounds of corn syrup used in the manufacture of candy bar?

a) Raw material price variance, expressed in cents per pound.
b) Raw material usage variance, expressed as a total cost for the month.
c) Raw material usage variance, expressed in total pounds for the month.
d) Raw material usage variance, expressed in total pounds for the week.

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c) Raw material usage variance, expressed in total pounds for the month.

The supervisor responsible for the number of pounds used wouldn't have ...

Solution Summary

This solution provides the correct choice and explanation to the variance and control question listed.

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