The Production of a Company Was Experiencing a High Defect

question 84

Multiple Choice

The production of a company was experiencing a high defect rate on the assembly line,which was slowing down the production and causing wastage of valuable materials.The production manager decided to recruit some highly skilled production workers from another company to bring down the defect rate,but was worried that the higher wages of these workers might negatively affect operating income.This situation would have produced a(n) ________.

• A)unfavorable direct materials cost variance
• B)unfavorable direct labor cost variance
• C)unfavorable direct labor efficiency variance
• D)unfavorable direct materials efficiency variance

---

Definitions:

Drawbacks And Benefits

Refers to the negative and positive outcomes or consequences associated with a particular situation, action, or decision.

Canadian Universities

Institutions of higher education located in Canada, recognized for providing a wide range of undergraduate, graduate, and professional programs.

Current Trends

The latest movements, developments, or preferences within a particular area or field.

Textbook

A book containing detailed knowledge on a specific subject or field, often used as a primary teaching material in educational settings.