10. The total budget variance is the sum of the actual cost of the input and its planned cost. A) True. B) False. Ideal standards can be achieved under efficient operating conditions. Allowance is made for normal breakdowns, interruptions, and less than perfect skill. A) True. B) False. 12.T The materials price variance (MPV) measures the difference between what should have been paid for raw materials and what was actually paid. A) True. B) False. 13. Labor hours can be purchased and stored for future use in the same way that materials can be. Likewise, the labor rate and labor efficiency variances will not always add up to the total labor variance. A) True B) False. 14. As improvements in production take place and conditions change, standards may need to be revised to reflect the new operating environment. A) True. B) False