Question 1 :3 Marks! - Circle all of the following statements that are correct a) Purchase of poor quality materials will generally result in a favourable materials price variance and a favourable material quantity variance. b) The difference between the static budget and exible budget is that the static budget is prepared using planned output. c) If a company has a favourable efficiency varianceI it uses more inputs than were budgeted for the output units achieved. d) The standard direct labour rate includes fringe benets such as healthi'dental and pension. e) The material quantity variance is computed based on the quantity of all materials purchased during the period. f) In a standard costing system, underapplied or overapplied fixed overhead is equal to the sum of the fixed overhead budget variance and the xed overhead volume variance