The Flapjack Corporation Had 8,200 Actual Direct Labor Hours at an Actual

question 27

Multiple Choice

The Flapjack Corporation had 8,200 actual direct labor hours at an actual rate of $12.40 per hour. Original production had been budgeted for 1,100 units, but only 1,000 units were actually produced. Labor standards were 7.6 hours per completed unit at a standard rate of $13.00 per hour.
The labor rate variance is

• A) $4,920 unfavorable
• B) $4,920 favorable
• C) $4,560 favorable
• D) $4,560 unfavorable

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Definitions:

Poisson Distribution

A probability distribution that expresses the probability of a given number of events occurring in a fixed interval of time or space.

Unsafe Levels

Concentrations or situations that exceed the thresholds deemed safe by regulations or health guidelines.

Radioactivity

The process by which unstable atomic nuclei lose energy by emitting radiation, including alpha particles, beta particles, and gamma rays.

Poisson Distribution

A probability distribution that expresses the probability of a given number of events occurring in a fixed interval of time or space when these events occur with a known constant mean rate and independently of the time since the last event.