Kartman Corporation Makes a Product with the Following Standard Costs

question 31

Multiple Choice

Kartman Corporation makes a product with the following standard costs: In June the company's budgeted production was 3,400 units but the actual production was 3,500 units. The company used 22,150 pounds of the direct material and 2,290 direct labor-hours to produce this output. During the month, the company purchased 25,400 pounds of the direct material at a cost of $170,180. The actual direct labor cost was $57,021 and the actual variable overhead cost was $8,931.The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.The labor rate variance for June is:

• A) $1,890 Favorable
• B) $2,061 Unfavorable
• C) $2,061 Favorable
• D) $1,890 Unfavorable

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Definitions:

Employing Agency

The organization or entity that hires social workers to provide services to clients, which may include governmental, non-profit, or private sectors.

Professional Behavior

The conduct or manner that is appropriate and expected in a professional setting, guided by ethics and standards.

Capacity Development

The process of enhancing the abilities of individuals, organizations, and communities to perform functions, solve problems, and set and achieve objectives.

Large-scale Change

Significant transformations that affect extensive aspects of an organization, a community, or society.