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Longview Hospital Performs Blood Tests in Its Laboratory

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Longview Hospital performs blood tests in its laboratory.The following standards have been set for each blood test performed: Longview Hospital performs blood tests in its laboratory.The following standards have been set for each blood test performed:   During May, the laboratory performed 1, 500 blood tests.On May 1 there were no direct materials (plates) on hand;after a plate is used for a blood test it is discarded.Variable overhead is assigned to blood tests on the basis of standard direct labor-hours.The following events occurred during May: • 3, 600 plates were purchased for $9, 540 • 3, 200 plates were used for blood tests • 340 actual direct labor-hours were worked at a cost of $5, 550 The direct materials purchases variance is computed when the materials are purchased. The materials quantity variance for May is: A) $1, 650 F B) $1, 650 U C) $550 U D) $720 F During May, the laboratory performed 1, 500 blood tests.On May 1 there were no direct materials (plates) on hand;after a plate is used for a blood test it is discarded.Variable overhead is assigned to blood tests on the basis of standard direct labor-hours.The following events occurred during May: • 3, 600 plates were purchased for $9, 540
• 3, 200 plates were used for blood tests
• 340 actual direct labor-hours were worked at a cost of $5, 550
The direct materials purchases variance is computed when the materials are purchased.
The materials quantity variance for May is:

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Definitions:

Labor Laws

Regulations governing the legal relations between employers and employees, including wage, work hours, health and safety, and workers' rights.

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The act of adhering to regulations, standards, or laws instituted by regulatory organizations or governments.

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The process of political, economic, and social integration among European countries, aiming to foster peace, stability, and prosperity.

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An economic state characterized by strong growth, low unemployment, and rising incomes, indicating a healthy and prosperous economic environment.

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