Using More Direct Labor Hours for Units Produced Than the Amount

question 19

Multiple Choice

Using more direct labor hours for units produced than the amount allowed by the standard results in:

• A) An unfavorable total labor variance.
• B) An unfavorable labor efficiency variance, regardless of the wage rate paid employees.
• C) An unfavorable labor efficiency variance only if the wage rate is higher than standard cost allowed.
• D) A favorable labor rate variance, because the hourly wage rate is automatically reduced when workers operate less efficiently.

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Definitions:

Territory Population

The inhabitants of a specific geographic area, especially those living in territories not yet given full rights or statehood within a country.

Southern Demand

Refers to the economic and political requests or needs emanating from the southern states of the United States, historically often related to agricultural interests and states' rights.

Slavery Expansion

The historical growth or spread of slavery, especially in the United States pre-Civil War, often a contentious issue between states.

Senate

A legislative body in various political systems, often the upper house in a bicameral legislature, responsible for making laws, decisions, and usually representing territorial entities.