Which of the Following Will Result in an Unfavorable Direct

question 81

Multiple Choice

Which of the following will result in an unfavorable direct labor cost variance?

• A)when actual direct labor hours exceed standard direct labor hours
• B)when actual direct labor hours are less than standard direct labor hours
• C)when the actual direct labor rate exceeds the standard direct labor rate
• D)when the actual direct labor rate is less than the standard direct labor rate

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Definitions:

Total Surplus

The sum of consumer surplus and producer surplus in a market, measuring the total net benefit to society from the production and consumption of a good or service.

Free-Trade Policy

Economic policies that eliminate tariffs and trade barriers between countries to encourage trade and economic integration.

Import Quota

A government-imposed restriction on the quantity of a specific good that can be imported into a country.

Consumer Surplus

The difference between the total amount that consumers are willing to pay for a good or service and the total amount they actually pay.