1. Which of the following is TRUE? A) If actual output production is higher than budgeted, a favorable production volume variance will always result. B) Paying a higher wage rate than the standard budgeted rate will always result in a favorable labor efficiency variance. (C) Using a lower quantity of direct materials per unit of output than the standard quantity budgeted will always result in a favorable direct materials quantity variance. (D) If actual output production is lower than budgeted,