-The Direct Labor Time Variance Is

question 106

Multiple Choice

-The direct labor time variance is

• A) $6,000 favorable
• B) $6,000 unfavorable
• C) $33,000 unfavorable
• D) $33,000 favorable

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Definitions:

Operating Expenses

Operating expenses are the costs associated with running a business's core operations on a daily basis, excluding the cost of goods sold, such as rent, utilities, and payroll.

Accrued Expenses

Expenses that have been incurred but not yet paid or recorded, recognizing costs as they are earned rather than when they are paid.

Spreadsheet Method

The spreadsheet method involves using software like Microsoft Excel to organize, calculate, and analyze data, often used for financial analysis and planning.

Retained Earnings

The stockholders’ equity created from business operations through revenue and expense transactions; an account representing the net income retained in a corporation.