Zotta Enterprises Uses Standard Costing and Applies Manufacturing Overhead Cost

question 104

Multiple Choice

Zotta Enterprises uses standard costing and applies manufacturing overhead cost to products on the basis of standard direct labor-hours (DLHs) . Budgeted and actual data relating to manufacturing overhead for last year appear below: The volume variance was:

• A) $5,640 U
• B) $5,640 F
• C) $752 U
• D) $752 F

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Definitions:

Remote-Controlled Carts

Wheeled conveyances operated from a distance using electronic remote control, often utilized for carrying goods or performing specific tasks.

Offshore Assembly Plants

Factories located in another country than where the finished product is sold, used by companies to reduce production costs.

Low Wages

Earnings that are minimal in comparison to the average or median wage levels within a specific area or industry.