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Define manipulation checks and pilot studies, and explain how they address the construct validity of an experiment.
Standard Hours Allowed
The time that should have been taken to complete the period’s output. It is computed by multiplying the actual number of units produced by the standard hours per unit.
Labour Rate Variance
The difference between the actual cost of labour per hour and the standard cost that was expected, multiplied by the total hours worked.
Variable Overhead Efficiency Variance
The difference between the actual variable overhead incurred and the expected variable overhead based on standard costs for the actual production achieved.
Actual Direct Labour Rate
The actual cost per hour paid to workers for their labor.
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