Biscuit Company Has Developed the Following Standards for One of Its

question 56

Multiple Choice

Biscuit Company has developed the following standards for one of its products. Direct labor hours is the driver used to assign overhead costs to products. The company records materials price variances at the time of purchase.
The direct labor efficiency variance is

• A) $8,000 unfavorable.
• B) $8,000 favorable.
• C) $20,000 unfavorable.
• D) $20,000 favorable.

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Definitions:

Optimistic Explanatory Style

Believing negative events are temporary and specific.

Believing

The act of accepting something as true, typically without empirical evidence or in the faith of a doctrine or principle.

Bad Events

Unfavorable or negative occurrences that can impact an individual's mental or emotional well-being.

Optimistic Explanatory Style

A cognitive approach where individuals attribute positive events to their own qualities and negative events to external factors, contributing to resilience and well-being.