Figure 17-8
the Following Information Was Extracted from the Accounting

question 6

Multiple Choice

Figure 17-8
The following information was extracted from the accounting records of Noelle Company: $\begin{array}{c}\text { STANDARD COST CARD}\\\text { PER UNIT}\\\begin{array}{llc}\text { Direct materials: } & 8 \text { pounds } \times £ 1.20 \text { per pound } & £ 9.60 \\\text { Direct labour: } & 3 \text { hours } \times £ 20 \text { per hour } & 60.00 \\\text { Variable overhead: } & 3 \text { hours } \times £ 6 \text { per hour } & 18.00 \\\text { Fixed overhead } & & ?& \\\text { Total standard cost per unit } & &? \end{array}\end{array}$ Budgeted fixed overhead for the period is £420,000, and the budgeted fixed overhead rate is based on an expected capacity of 30,000 direct labour hours.
The following information is available regarding the company's operations for the period: $\begin{array}{ll}\text { Units produced } & 10,500 \\\text { Direct labour } & 29,000 \text { hours costing } £ 590,000 \\& \\\text { Overhead incurred: } & £ 182,000 \\\text { Variable } & £ 430,000\end{array}$
-Refer to Figure 17-8. Noelle's fixed overhead spending variance would be

• A)£10,000 unfavourable.
• B)£11,000 unfavourable.
• C)£21,000 favourable.
• D)£31,000 favourable.

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Definitions:

Good Job Design

The process of organizing work tasks and responsibilities to improve job satisfaction and performance.

Task Requirements

The specific duties, responsibilities, and conditions necessary to successfully complete a job or task.

Employee Contributions

The individual efforts, skills, and knowledge that employees bring to their roles, contributing to the organization's success.

Job Enrichment

The process of making a job more rewarding, stimulating, and satisfying by adding more meaningful tasks and duties.