The Standard Rate of Pay Is $15 Per Direct Labour

question 31

Multiple Choice

The standard rate of pay is $15 per direct labour hour.If the actual direct labour payroll was $58,800 for 4,000 direct labour hours worked, the direct labour price (rate) variance is

• A)$1,200 unfavourable.
• B)$1,200 favourable.
• C)$1,500 unfavourable.
• D)$1,500 favourable.

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Definitions:

UCC

A broad set of regulations known as the Uniform Commercial Code is in place to manage all commercial dealings within the United States.

Customer

An individual or entity that purchases goods or services from another individual or entity, usually in a retail or business-to-business context.

Negotiable Instruments

Negotiable instruments are financial documents representing a promise to pay a specified amount of money, such as checks, promissory notes, and bills of exchange.

UCC Article 3

It governs negotiable instruments, including checks and notes, within the Uniform Commercial Code.