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

---

Definitions:

Speciesism

A form of discrimination based on species, typically involving the prioritization of human interests over those of other animals.

Peter Singer

A contemporary Australian philosopher known for his contributions to bioethics and utilitarian ethical theory, particularly regarding animal rights and global poverty.

Right Conduct

Behaviors or actions that are deemed morally correct or ethical in a given context.

Carl Cohen

A philosopher known for his work in bioethics and animal rights, arguing against animal rights based on moral grounds.