If a Company Assigns Factory Labor to Production at a Cost

question 172

Multiple Choice

If a company assigns factory labor to production at a cost of $84000 when standard cost is $80000 it will

• A) debit Labor Price Variance for $4000.
• B) credit Labor Price Variance for $4000.
• C) debit Labor Quantity Variance for $4000.
• D) credit Labor Quantity Variance for $4000.

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Definitions:

Building Contractor

A professional or company responsible for the construction, renovation, or repair of buildings, overseeing project management and execution.

Practice Law

The profession of providing legal advice and representation to clients and interpreting and applying the law.

Secretarial Work

A variety of administrative and clerical tasks that support business operations, such as typing documents, handling correspondence, and scheduling appointments.

Granted License

An official permission or permit given by an authority to an individual or organization to do something that, without such permission, would be illegal.