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

question 126

Multiple Choice

Use the information below to answer the following question(s) .
Back Yards Inc. sells lawn furniture. The following information summarizes the company's operating expenses for the year:

-What was operating income for the year at Back Yards Inc.?

• A) $86,000
• B) $81,000
• C) $96,000
• D) $76,000

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Definitions:

Standard Hours

The predetermined amount of time expected to complete a unit of work or job, serving as a benchmark for productivity and performance measurement.

Actual Output

The real quantity of goods or services produced by a company during a specific period.

Labour Efficiency Variance

The difference between the actual labor hours worked and the standard hours planned, multiplied by the standard labor rate.