Use the Following Data to Find the Total Direct Labor

question 8

Multiple Choice

Use the following data to find the total direct labor cost variance if the company produced 3,500 units during the period.

• A)$6,125 unfavorable.
• B)$7,000 unfavorable.
• C)$7,000 favorable.
• D)$21,000 favorable.
• E)$14,875 favorable.

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Definitions:

Blue Collar

A term used to describe workers in manual labor industries or occupations, often involving physical work and typically requiring protective clothing.

Manual Wage Workers

Refers to laborers who perform physical tasks and are compensated based on hourly rates or fixed salaries, often in sectors like manufacturing, construction, and maintenance.

Shop-Floor

The area in a manufacturing facility where goods are produced or assembled.

European Industrialization

The transformation from agrarian and handicraft economies to industrial and machine-manufacturing dominated societies in Europe, beginning in the late 18th century.