The Actual Cost of Direct Labor Per Hour Is $16

question 224

Multiple Choice

The actual cost of direct labor per hour is $16.00 and the standard cost of direct labor per hour is $15.50.The direct labor hours allowed per finished unit is 0.5 hour.During the current period,5,500 units of finished goods were produced using 3,000 direct labor hours.How much is the direct labor rate variance?

• A)$1,500 favorable
• B)$2,750 favorable
• C)$1,500 unfavorable
• D)$2,750 unfavorable

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Definitions:

Malleus

A small bone in the middle ear that plays a key role in the process of hearing by transmitting sound vibrations from the eardrum to the inner ear.

Incus

A small anvil-shaped bone in the middle ear that plays a crucial role in transmitting sound vibrations to the inner ear.

Red-green Color Blindness

A common type of color vision deficiency where individuals have difficulty distinguishing between red and green hues.

Occipital Lobe

The region of the brain located at the back of the head, responsible for processing visual information.