Latimer Textiles Inc. Latimer Textiles Inc. Incurred Actual Variable Overhead Expenses of $27

question 93

Multiple Choice

Latimer Textiles Inc.
Latimer Textiles Inc. incurred actual variable overhead expenses of $27 000 in the current year for the production of 8000 units. Variable overhead was applied at a rate of $1.75 per direct labour hour and 2 direct labour hours were budgeted for each unit. The company used 17 400 direct labour hours for production.
-What was Latimer's variable overhead spending variance?

• A) $3450 U
• B) $3450 F
• C) $2450 U
• D) $2450 F

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Definitions:

Marketing Research

The systematic gathering, recording, and analysis of qualitative and quantitative data about issues relating to marketing products and services.

Secondary Data

Secondary data refers to information that has been collected previously by someone else for a different purpose but can be utilized for a new research project or analysis.

Primary Data

Data collected firsthand for a specific research purpose, involving direct interaction with the study subjects through surveys, interviews, or experiments.

Time-Consuming

Requiring a significant amount of time to complete, often more than what is considered desirable or efficient.