Use the Following Information for the Next 2 Questions

question 87

Multiple Choice

Use the following information for the next 2 questions.
Keyport, Inc. uses a standard job cost system. The standard price for direct material is $15 per ounce, and Keyport used 60,000 ounces this period. The standard quantity allowed for direct materials this period was 58,000 ounces. The standard price for direct labor is $9 per hour, and Keyport used 5,000 direct labor hours, at an actual cost of $10 per hour this period. The standard quantity allowed for direct labor this period was 5,200 hours.
-The entry to record the usage of direct labor would include a

• A) Debit to Direct labor efficiency variance for $1,800
• B) Credit to Work in process inventory for $3,200
• C) Debit to Direct labor price variance for $5,000
• D) Debit to Accrued payroll for $3,200

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Definitions:

Infinite Combinations

The potential for limitless mixing and matching of components in a system or set.

Ambiguity

The quality of being open to more than one interpretation; lack of definitiveness or clarity.

Synonymy

The attribute of two or more words having the same or nearly the same meaning.

Infinite Combinations

The concept that elements can be combined in limitless ways to create new ideas or solutions.