Which of the Following Correctly Lists All the Information Needed

question 73

Multiple Choice

Which of the following correctly lists all the information needed to calculate a labour rate variance?

• A)Standard labour rate and actual hours worked.
• B)Actual hours worked and actual units produced.
• C)Standard labour rate, actual labour rate, and actual units produced.
• D)Actual labour rate and actual hours worked.
• E)Actual labour rate, standard labour rate, and actual hours worked.

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Definitions:

Compensating Balance

A minimum account balance that a borrower is required to maintain as a condition of borrowing from a lender, often used to offset the cost of maintaining the loan.

Accounts Payable Period

The average time it takes for a company to pay off its suppliers.

Credit Sales

Transactions in which goods or services are provided to a customer with the agreement that payment will be made at a later date.

COGS

Stands for Cost of Goods Sold, which represents the direct costs attributable to the production of the goods sold by a company, including materials and labor.