The Standard Costs and Actual Costs for Direct Labor for the Manufacture

question 23

Multiple Choice

The standard costs and actual costs for direct labor for the manufacture of 2,500 actual units of product are as follows:
The amount of the direct labor rate variance is:

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Definitions:

Peanut Butter

A food paste or spread made from ground, dry-roasted peanuts.

Recession

A downturn in the economy.

Equilibrium Price

The price at which the quantity of a good demanded by consumers equals the quantity supplied by producers, resulting in market balance.

Equilibrium Quantity

Equilibrium Quantity is the quantity of goods or services that is supplied and demanded at the equilibrium price, where market supply and demand balance.