The Following Information Describes a Company's Usage of Direct Labor

question 45

Multiple Choice

The following information describes a company's usage of direct labor in a recent period: $$\begin{array} { | l | l | } \hline \text { Actual direct labor hours used } & 32,500 \\\hline \text { Actual rate per hour } & \$ 18.00 \\\hline \text { Standard rate per hour } & \$ 16.50 \\\hline \text { Standard hours for urits produced } & 32,000 \\\hline\end{array}$$
- How much is the direct labor efficiency variance?

• A)$8,250 favorable
• B)$8,250 unfavorable
• C)$9,000 unfavorable
• D)$9,000 favorable

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Definitions:

Adapt

To make suitable adjustments to new conditions or environments.

Action Potential

A temporary reversal of an electrical charge across a cell membrane resulting in the transmission of a nerve impulse.

Neurotransmitters

Chemical substances in the brain that transmit signals from one neuron to another, influencing mental and physical processes.

Synaptic Space

The tiny gap at the junction between two neurons, across which neurotransmitters travel to transmit signals.