Long Hill LLC purchasing manager obtained a special price on a metal alloy from a new supplier, resulting in a direct-material price variance of $10,800F. The alloy produced more waste than normal, as evidenced by a direct-material quantity variance of $2,500U, and was also difficult to use. This slowed worker efficiency, generating a $3,000U labor efficiency variance. To help remedy the situation, the production manager used senior line employees, which gave rise to a $1,400U labor rate variance. If overall product quality did not suffer, what variance amount is best used in judging the appropriateness of the purchasing manager's decision to acquire substandard material?
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Long Hill LLC purchasing manager obtained a special price on a metal alloy from a new supplier, resu...
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