Chhom Corporation Makes a Product Whose Direct Labor Standards Are

question 142

Multiple Choice

Chhom Corporation makes a product whose direct labor standards are 0.4 hours per unit and $19.00 per hour. In November the company produced 1,800 units using 760 direct labor-hours. The actual direct labor cost was $13,300. The labor rate variance for November is:

• A) $1,080 F
• B) $1,140 U
• C) $1,080 U
• D) $1,140 F

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Definitions:

Test Statistic

In hypothesis testing, the test statistic is a standardized value derived from sample data, used to make a decision about the null hypothesis.

SPSS Output

The results generated by the Statistical Package for the Social Sciences, including statistical tests, tables, and graphs, after data analysis.

Test Statistic

A calculated value from sample data that is used in statistical testing to decide whether to reject the null hypothesis within the framework of a hypothesis test.

P-value

A statistical measure that indicates the probability of observing the test results, or something more extreme, if the null hypothesis is true.