Using the Labor Time Standard of 0 A) $3,960 (F)
B) $3,960 (U)
C) $4,500 (U)
D)

question 96

Multiple Choice

Using the labor time standard of 0.5 labor hour per unit and a labor cost standard of $10 per labor hour for a 10 pound bag of chocolate and the following actual cost and usage data, compute the direct labor efficiency variance.
$\begin{array}{lr}\text {Direct labor hours used }&\text {4,950 hours }\\\text { Total cost of direct labor}&\text {\$ 53,460 }\\\text {Number of good units prochuced }&\text { 9,000 units}\\\end{array}$

• A) $3,960 (F)
• B) $3,960 (U)
• C) $4,500 (U)
• D) $4,500 (F)

Understand the concepts and applications of credit instruments in financial management.

Comprehend the importance and methods of managing receivables and the implications for cash flow.

Grasp the economic and operational considerations in extending credit to customers.

Recognize the characteristics of creditworthy customers through the five Cs of credit.

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Definitions:

Printing Cost

The expenses associated with producing printed materials, such as ink, paper, and machine maintenance.

Chocolate Chips

Small pieces of chocolate used as an ingredient in cookies, pancakes, and other baked goods.

Equilibrium Quantity

The quantity at which the amount of goods supplied is equal to the amount of goods demanded in the market.

Upward-Sloping Supply Curve

A graphical representation indicating that an increase in price results in an increase in the quantity of goods supplied.