Use the Information Below to Answer the Following Question(s)

question 62

Multiple Choice

Use the information below to answer the following question(s) .The following data for a pottery company pertain to the production of 2,000 clay pots during July.Direct Materials (all materials purchased were used) :
Direct Manufacturing Labour:

-What is the direct manufacturing labour efficiency variance?

• A)$672 unfavourable
• B)$500 favourable
• C)$672 favourable
• D)$500 unfavourable
• E)$28 favourable

Understand how to calculate and interpret labor rate variances.

Gain knowledge on standard hours allowed for the actual output calculation and its significance.

Gain insights into variable and fixed cost behavior and its impact on managerial decision-making.

Understand the significance of favorable (F) and unfavorable (U) variances in cost management.

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Definitions:

Providing Records

The process or action by which an individual or entity supplies or makes available documents or data as required by law or agreement.

Electronic Means

The utilization of digital or electronic equipment and technology to communicate, process, or store information.

Creating Records

entails the process of documenting or recording information or transactions for the purpose of establishing evidence or maintaining an official account.

Administrative Statutes

Laws or regulations enacted by governmental agencies that govern how the agencies operate and enforce policy.