Question

The total manufacturing cost variance is a.the difference between total actual costs and total standard costs for the units produced b.the difference between planned costs and standard costs for the units produced c.the flexible budget variance plus the time variance d.none of the above

Answer 1

Answer:

a.the difference between total actual costs and total standard costs for the units produced

Explanation:

The total manufacturing cost variance shows the difference between the total actual cost i.e. incurred and the standard cost incurred for the units that are produced or generated

In mathematically, it should be

Total manufacturing cost variance = standard cost - actual cost

hence, the first option is correct