A Company Receives an Unusually High Number of Orders in a Month

question 223

Multiple Choice

A company receives an unusually high number of orders in a month. To produce all of the orders within the scheduled dates of delivery, the company pays employees an extra $8 per hour for every hour of overtime the employees work. Which of the following variances may be directly impacted?

• A)Direct materials price variance
• B)Direct materials quantity variance
• C)Direct labor efficiency variance
• D)Direct labor rate variance