Accurate Tax Returns Budgets Two Direct Labor Hours for Every

question 202

Multiple Choice

Accurate Tax Returns budgets two direct labor hours for every tax return that it prepares,at a standard cost of $32 an hour.During the most recent year,540 returns were completed with the labor cost totaling $24,000.The actual labor cost was $44.44 per hour during that period.The actual number of labor hours was 1000.What is the direct labor cost variance?

• A)$6720 F
• B)$32,000 U
• C)$12,440 U
• D)$32,000 F

---

Definitions:

Privacy Legislation

Laws designed to protect individuals' personal information from unauthorized use or disclosure.

Administrative Laws

A branch of law that governs the activities of administrative agencies of government, including rule-making and enforcement.

Hostile Environment

Any unwelcome behavior based on race, gender, religion, or other protected characteristics that makes the workplace intimidating or offensive.

EEOC Guidelines

Rules and recommendations provided by the Equal Employment Opportunity Commission aimed at preventing workplace discrimination.