The Door Company Manufactures Doors

question 20

Short Answer

The Door Company manufactures doors.Classify each of the following quality costs as prevention costs, appraisal costs, internal failure costs, or external failure costs.
A)Appraisal
B)Internal failure
C)Prevention
D)External failure
-Technical support provided to suppliers

• A)Appraisal
• B)Internal failure
• C)Prevention
• D)External failure
• -Technical support provided to suppliers

---

Definitions:

Direct Labor Efficiency Variance

The difference between the actual hours worked and the standard hours expected, multiplied by the standard labor rate, indicating the efficiency of labor used in production.

Direct Labor Costs

Direct labor costs are the wages and benefits paid to employees who are directly involved in the production of goods or services, constituting part of the total manufacturing costs.

Total Direct Labor Cost Variance

The difference between the actual direct labor costs incurred and the standard or expected direct labor costs.

Direct Labor Costs

Direct labor costs are the total amounts paid to employees directly involved in production, such as wages for hours worked on manufacturing goods.