Tharaldson Corporation Makes a Product with the Following Standard Costs

question 414

Multiple Choice

Tharaldson Corporation makes a product with the following standard costs: The company reported the following results concerning this product in June.
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) $616 Favorable
• B) $616 Unfavorable
• C) $550 Favorable
• D) $550 Unfavorable

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Definitions:

Calories

Units of energy that measure the amount of energy food provides to the body.

Fat

A macronutrient that is a major source of energy for the body and aids in the absorption of vitamins.

Immediate Fuel

Energy sources that are quickly available to the body for immediate use, such as glucose.

Carbohydrates

Organic compounds consisting of carbon, hydrogen, and oxygen, typically found in foods and living tissues, vital for energy supply in living organisms.