The Variance Computed by Multiplying the Difference Between the Actual

question 90

Multiple Choice

The variance computed by multiplying the difference between the actual rate and the standard rate by the actual hours is:

• A) The labor rate variance
• B) The materials price variance
• C) The manufacturing overhead efficiency variance
• D) The labor efficiency variance

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Definitions:

Earnings Ratio

A financial metric that compares a company's earnings to another value, such as the price of its stock or the earnings of another industry.

Labor Force Participation

The percentage of the population that is working or actively looking for work, excluding those not seeking employment.

Earnings Difference

The disparity in income earned between different individuals, occupations, or time periods.

Married Men

Adult males who are legally joined in marriage to a spouse.