Ortman Corporation Makes a Product with the Following Standard Costs

question 337

Multiple Choice

Ortman Corporation makes a product with the following standard costs: The company reported the following results concerning this product in May. The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The labor efficiency variance for May is:

• A)$483 U
• B)$510 U
• C)$483 F
• D)$510 F