EKPN CoProduces Wooden Boxes

question 12

Multiple Choice

EKPN Co.produces wooden boxes.The company's standards per box require 6 boards, each costing $10 per board, and half of an hour of direct labour.The standard labour rate is $15 per hour.In August, EKPN Co.Purchased 12,000 boards for a total cost of $123,000.It used 11,500 boards to manufacture 1,900 boxes.Total labour hours were 1,000 hours, and total labour costs were $16,250. What was the total labour variance for August?

• A)$1.25 F
• B)$1.25 U
• C)$2,000 F
• D)$2,000 U

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Definitions:

Red Pulp

A tissue in the spleen composed of blood-filled sinuses and splenic cords, involved in filtering blood and removing aged or damaged red blood cells.

White Pulp

Lymphatic tissue in the spleen composed of lymphocytes and macrophages, involved in the immune response.

Germinal Center

An area inside lymph nodes where mature B cells grow, evolve, and alter their antibody genes while responding to an immune challenge.

Afferent Vessels

Blood vessels that carry blood toward a particular organ or tissue, often referring to the vessels entering an organ.