Frogue Corporation Uses a Standard Cost System The Direct Labor Cost Variance Is:
A) $1,310 Favorable

question 54

Multiple Choice

Frogue Corporation uses a standard cost system. The following information was provided for the period that just ended: $\begin{array}{ll}33.00 & \text { Actual price per kilogram } \\11,000 & \text { Actual kilograms of material used } \\\$ 18.20 & \text { Actual hourly labor rate } \\4,900 \text { labor hours } & \text { Actual hours of prochuction }\\\$ 2.80 & \text { Standard price per kilogram } \\6 \text { kilograms } & \text { Standard kilograms per completed urit } \\\$ 18.00 & \text { Standard hourly labor rate } \\1 \text { hr. } & \text { Standard time per completed urit } \\\$ 34,900 & \text { Actual total factory overhead } \\\$ 18,000 & \text { Actual Fixed factory overhead }\\\$ 1.20 \text { per labor hour } & \text { Standard fixed factory overhead rate } \\\$ 3.80 \text { per labor hour } & \text { Standard variable factory overhead rate } \\15,000 \text { hours } & \text { Maximum plant capacity } \\5,000 & \text { Units completed chringthe period }\end{array}$
The direct labor cost variance is:

• A) $1,310 favorable.
• B) $820 favorable.
• C) $1,310 unfavorable.
• D) $820 unfavorable.

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Definitions:

Direct Marketing

A strategy that involves direct communication with potential customers through various channels, aiming to generate a specific response or transaction.

Database Management

The process of storing, organizing, and managing data using database management systems (DBMS) to ensure data accessibility, accuracy, and security.

Promotion

The act of communicating the value of a product or service to potential customers, using various techniques to encourage sales.

Expensive

Refers to something that has a high price or cost, often relative to similar products or services.