The Following Information Describes Benji's Security Services Usage of Direct

question 126

Multiple Choice

The following information describes Benji's Security Services usage of direct labour in a recent period:

-The actual cost of direct materials is $11.70 per kilogram. The standard cost per kilogram is $11.50. During the current period, 8,200 kilograms of direct materials were used in production and 18,300 kilograms were purchased. The standard quantity of direct materials for actual units produced is 18,100 kilograms. How much is the direct materials efficiency variance?

• A) $113,850 favourable
• B) $115,830 favourable
• C) $115,830 unfavourable
• D) $113,850 unfavourable

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Definitions:

Glycolysis

The metabolic pathway that converts glucose into pyruvate, generating ATP and NADH without the need for oxygen.

NADH

A coenzyme found in all living cells that is produced during glycolysis and used as an electron carrier in the process of cellular respiration.

FADH2

A redox cofactor involved in cellular respiration, acting as a carrier of electrons to the electron transport chain.

Alcoholic Fermentation

A biological process by which sugars such as glucose, fructose, and sucrose are converted by yeast or bacteria into cellular energy, producing ethanol and carbon dioxide as side products.