The Labor Rate Variance Is

question 47

Multiple Choice

The labor rate variance is

• A) $4,920 unfavorable
• B) $4,920 favorable
• C) $4,560 favorable
• D) $4,560 unfavorable

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Definitions:

Financing Activity

Transactions and events where cash is raised from creditors and investors to fund the company’s operations and expansions.

Statement of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, dividing activities into operating, investing, and financing activities.

Dividend Reinvestment Scheme

A plan offered by a corporation that allows investors to reinvest their cash dividends by purchasing additional shares or fractional shares on the dividend payment date.

Cash Equivalents

Short-term, highly liquid investments that are readily convertible to known amounts of cash and close to their maturity.