Bukowitz Inc

question 54

Multiple Choice

Bukowitz Inc.has a favourable direct labour rate variance.Which of the following would be the most likely reason for this variance?

• A) The company used lower-paid workers in the production process more than they had expected.
• B) Employees took a shorter amount of time to produce the product than expected.
• C) The company used a standard direct labour rate that was too low.
• D) Employees used less direct materials in the production process than expected.

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Definitions:

Fiduciary Capacity

Refers to a situation where one party, known as a fiduciary, holds a legal or ethical relationship of trust with another party, typically managing assets for them.

Misappropriation

The unauthorized use of another's name, likeness, or other personal attributes for personal or commercial gain.

Defalcation

Refers to the misappropriation of funds or embezzlement by a person entrusted with their care but not necessarily fraud.

False Entries

The intentional act of entering incorrect or misleading information into records or documents, often for fraudulent purposes.