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

question 43

Multiple Choice

Use the information below to answer the following question(s) .All Good Things Ltd.planned on producing 600 units for the year.However, actual production was 400 units.Information concerning the direct labour cost for All Good Things Ltd.is as follows: actual results 1,000 hours at $25 per hour; static budget amounts were 1,200 hours at $21 per hour.
-What is the All Good Things Ltd.direct labour rate 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:

Transaction

A financial event that changes the balance of two or more accounts.

Debt Ratio

Debt ratio is a financial ratio that measures the extent of a company's leverage by comparing its total debt to its total assets.

Total Liabilities

The combined amount of all financial obligations a company owes to external parties, recorded on the balance sheet.

Total Assets

The sum of all assets owned by a company, including current and non-current assets, as reported on the balance sheet.