"Which of the following would explain an adverse variable production overhead efficiency variance?
1 Employees were of a lower skill level than specified in the standard
2 Unexpected idle time resulted from a series of machine breakdown
3 Poor Quality material was difficult to process"

A. (1), (2) and (3)

B. (1) and (2)

C. (2) and (3)

D. (1) and (3)

Answer: Option D

Solution(By Examveda Team)

The following that would explain an adverse variable production overhead efficiency variance are Employees were of a lower skill level than specified in the standard and Poor Quality material was difficult to process.