Quality Brand Products Uses Standard Costing to Manage Its Direct

question 1

Multiple Choice

Quality Brand Products uses standard costing to manage its direct s and overhead costs.Overhead costs are allocated based on direct labor hours.In the first quarter,Quality Brand had an unfavorable efficiency variance for their variable overhead costs.Which of the following scenarios would be a reasonable explanation for that variance?

• A)The actual number of direct labor hours was lower than the budgeted hours.
• B)The actual variable overhead costs were higher than the budgeted costs.
• C)The actual variable overhead costs were lower than the budgeted costs.
• D)The actual number of direct labor hours was higher than the budgeted hours.

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Definitions:

Nontender Lymph Nodes

Lymph nodes that are not painful upon examination, potentially indicating a non-inflammatory condition.

Testicular Cancer

A type of cancer that originates in the testicles, the male reproductive glands located in the scrotum.

Painless Mass

An abnormal lump or growth in the body that does not cause pain, potentially indicating a benign or malignant condition.

Epididymis

A coiled tube located at the back of the testicle that stores and carries sperm.