The Standard Rate of Pay Is $20 Per Direct Labor

question 226

Multiple Choice

The standard rate of pay is $20 per direct labor hour. If the actual direct labor payroll was $117600 for 6000 direct labor hours worked the direct labor price (rate) variance is

• A) $2400 unfavorable.
• B) $2400 favorable.
• C) $3000 unfavorable.
• D) $3000 favorable.

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Definitions:

Practices and Policies

Established methods of action and formal guidelines within organizations or societies.

Modernization Theory

A social science theory that posits the transition from traditional to modern societies involves systematic development in areas like industry, technology, and governance.

Dependency Theory

A theoretical perspective that suggests economic development of countries is linked to their dependence on more developed nations, often describing how resources flow from a periphery of poor and underdeveloped states to a core of wealthy states.

Compare and Contrast

A method of analysis that identifies similarities and differences between two or more subjects, objects, or ideas.