How Is the Direct Labor Efficiency Variance Calculated

question 125

Multiple Choice

How is the direct labor efficiency variance calculated?

• A)The difference between the standard labor hours allowed and the actual labor hours used multiplied by the actual labor rate
• B)The difference between the standard labor hours allowed and the actual labor hours used multiplied by the standard labor rate
• C)The difference between the standard labor hours and the actual labor hours used
• D)The difference between the standard labor rate and the actual labor rate

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Definitions:

Wagner Act

Also known as the National Labor Relations Act (NLRA), it is a foundational statute of US labor law which guarantees basic rights of private sector employees to organize into trade unions.

Labor Organizations

Groups such as unions that represent workers in negotiations with employers over wages, working conditions, and benefits.

Fourth Amendment

An amendment to the U.S. Constitution that protects citizens from unreasonable searches and seizures by the government.

Drug Testing

The process of analyzing biological specimens to detect the presence of drugs or their metabolites, usually conducted by employers or law enforcement.