The Difference Between the Actual Labor Rate Multiplied by the Actual

question 212

Multiple Choice

The difference between the actual labor rate multiplied by the actual labor hours worked and the standard labor rate multiplied by the standard labor hours is the

• A) total labor variance.
• B) labor price variance.
• C) labor quantity variance.
• D) labor efficiency variance.

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Definitions:

Accounts Receivables

Dues owed by customers to a firm for the provision of goods or services that have been delivered but remain unpaid.

Accounts Receivable

Represents money owed by customers to a company in exchange for goods or services that have been delivered but not yet paid for.

Accounts Payable

Money owed by a business to its suppliers shown as a liability on the company's balance sheet.

Prepaid Expense

Payments made in advance for goods or services to be received in the future, recorded as an asset on the balance sheet until the expense is incurred.