Morocco Desk Co

question 147

Multiple Choice

Morocco Desk Co. purchases 6,000 feet of lumber at $6.00 per foot. The standard price for direct materials is $5.00. The entry to record the purchase and unfavorable direct materials price variance is

• A) Direct Materials 30,000
• Direct Materials Price Variance Accounts Payable
• 6,000
• 36,000
• B) Direct Materials Accounts Payable
• 30,000
• 30,000
• C) Direct Materials Direct Materials Price Variance
• 36,000
• 6,000
• Accounts Payable
• 30,000
• D) Work in Process Direct Materials Price Variance
• 36,000
• 6,000
• Accounts Payable
• 30,000

Recognize maintenance procedures for improving computer performance.

Configure browser options for security purposes.

Implement measures for managing and protecting network access.

Utilize disk management tools for partitioning and file system management.

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Definitions:

Direct Labour

Labor costs directly associated with the manufacturing of a product or provision of a service, often considered a variable cost.

Work in Process

Inventory that includes goods in the midst of the production process, between raw materials and finished goods stages.

Cost of Goods Sold

The direct costs attributable to the production of the goods sold by a company, including materials and labor costs.

Predetermined Rate

An estimated rate used to apply manufacturing overhead costs to products, calculated before the actual overhead costs are known.