Reference: 11-03
the Albright Company Uses Standard Costing and Has

question 25

Multiple Choice

Reference: 11-03
The Albright Company uses standard costing and has established the following standards for its single product: $$\begin{array} { | l | l | } \hline \text { Direct materials } & 2 \text { litres at } \$ 3 \text { per litre } \\\hline \text { Direct labour } & 0.5 \text { hours at } \$ 8 \text { per hour } \\\hline \text { Variable manuf. overhead } & 0.5 \text { hours at } \$ 2 \text { per hour } \\\hline \begin{array} { l } \text { During November, the company made } 4,000 \text { units } \\\text { and incurred the following costs: }\end{array} & \\\hline \text { Direct materials purchased } & 8,100 \text { litres at } \$ 3.10 \\\hline & \text { per litre } \\\hline \text { Direct materials used } & 7,600 \text { litres } \\\hline \text { Direct labour used } & 2,200 \text { hours at } \$ 8.25 \text { per hour } \\\hline \text { Actual variable manuf. overhead } & \$ 4,175 \\\hline\end{array}$$ The company applies variable manufacturing overhead to products on the basis of direct labour hours.
-What does a credit balance in a direct labour efficiency variance account indicate

• A)The average wage rate paid to direct labour employees was less than the standard rate.
• B)Actual total direct labour costs incurred were less than standard direct labour costs allowed for the units produced.
• C)The standard hours allowed for the units produced were greater than actual direct labour hours used.
• D)The number of units produced was less than the number of units budgeted for the period.

Analyze the importance of precision in language for clear communication.

Appreciate the complexity of language and the process of definition in ensuring effective communication.

Understand the progression of sensorimotor substages and their characteristics.

Differentiate between primary, secondary, and tertiary circular reactions and their importance in cognitive development.

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Definitions:

Misinformation Effect

A phenomenon where one's recall of episodic memories becomes less accurate due to post-event information.

Misinformation Effect

A phenomenon in which a person's recall of episodic memories becomes less accurate due to post-event information.

Alter Memory

The process of changing or modifying memories, often through suggestion, misinformation, or psychological techniques.

Source Amnesia

A condition in which someone can't recall the circumstances, location, or method by which they originally learned specific facts, even though they still retain the information.