The Following Information Is Presented for the Maybeel Manufacturing Company

question 40

Multiple Choice

The following information is presented for the Maybeel Manufacturing Company.
- Direct labor rate standard is $11.55.
- Direct labor efficiency standard is 2.5 hours per unit.
- Budgeted production is 1,200 units.
- Production required 2,910 direct labor hours at a cost of $33,174.
- Actual production is 1,150 units.
What is the direct labor efficiency variance?

• A) $404.25 Favorable
• B) $404.25 Unfavorable
• C) $1,039.50 Favorable
• D) $1,039.50 Unfavorable

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Definitions:

Sampling Frame

A list or database from which a statistical sample is drawn for a study or survey.

Confidence Interval

A statistical range, typically derived from sample data, intended to contain the true value of an unknown population parameter with a specified probability.

Random Sample

A sample drawn in such a way that every member of the population has an equal chance of being selected.

Response Rate

The proportion of individuals who respond to a survey, questionnaire, or research study out of the total number asked to participate.