Use the Information Below to Answer the Following Question(s)

question 59

Multiple Choice

Use the information below to answer the following question(s) .
A company makes table lamps, for which the following standards have been developed:
During January, production of 100 lamps was expected, but 110 lamps were actually completed.
Direct materials purchased and used were 2,100 kilograms at an actual price of $2.20 per kilogram.
Direct labour cost for the month was $5,310, and the actual pay per hour was $9.00.
-What is the All Good Things Ltd. direct labour input-price variance?

• A) $4,200 U
• B) $4,200 F
• C) $200 F
• D) $4,000 F
• E) $4,000 U

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Definitions:

Life Estate

A property interest that lasts for the life of the holder, allowing use of the property for their lifetime but not the right to sell it.

Property Rights

The rights and entitlements relating to the ownership and use of land and other forms of property.

Legal Formalities

Specific procedures or requirements prescribed by law for validating contracts, agreements, or other legal instruments.

Testator

An individual who has made a will or testament to bequeath their estate upon their death.