Biery Corporation Makes a Product with the Following Standard Costs

question 276

Multiple Choice

Biery Corporation makes a product with the following standard costs: The company produced 4,100 units in April using 5,380 liters of direct material and 2,610 direct labor-hours. During the month, the company purchased 6,000 liters of the direct material at $5.80 per liter. The actual direct labor rate was $19.80 per hour and the actual variable overhead rate was $2.90 per hour. 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 variable overhead efficiency variance for April is:

• A)$435 F
• B)$435 U
• C)$450 U
• D)$450 F

---

Definitions:

Functionalism

A theoretical framework in sociology and anthropology that explains social institutions and structures by the role they play in society.

Adapt to Environment

The process by which organisms adjust and change in response to their external environment.

Psychology

The scientific study of the mind and behavior, encompassing various aspects of conscious and unconscious experience.

Functionalism

A theory in the social sciences that explains social structures and institutions as collective means to fulfill individual and societal needs.