The Below Table Shows the Average Utility (In Utils) Obtained

question 69

Multiple Choice

The below table shows the average utility (in utils) obtained from the consumption of goods A and B.Table 7.3

-Refer to Table 7.3. The total utility of the third unit of A is _____ utils.

• A)15
• B)12
• C)21
• D)20

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Definitions:

Direct Labor Rate Variance

The difference between the actual cost of direct labor and the expected (or standard) cost, used in variance analysis to control labor costs.

Direct Materials Cost Variance

The difference between the budgeted cost of materials for products and the actual cost incurred.

Direct Labor Rate Variance

The difference between the actual cost of labor per hour and the standard or expected cost, multiplied by the total labor hours worked.

Direct Labor Time Variance

The difference between the actual labor time spent on a product and the standard labor time expected, affecting product costs.