Desue Corporation Makes a Product with the Following Standards for Labor

question 94

Multiple Choice

Desue Corporation makes a product with the following standards for labor and variable overhead: The company budgeted for production of 6, 500 units in December, but actual production was 6, 300 units.The company used 610 direct labor-hours to produce this output.The actual variable overhead rate was $6.40 per hour.The company applies variable overhead on the basis of direct labor-hours. The variable overhead efficiency variance for December is:

• A)$140 F
• B)$128 F
• C)$128 U
• D)$140 U

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Definitions:

Fundamental Attribution Error

The tendency to overemphasize personality-based explanations for behaviors observed in others while underemphasizing the role and power of situational influences.

Confession

The act of admitting to something, particularly acknowledging one's sins or wrongdoings, often within a religious or legal context.

Duress

A compulsion by threat or force; a condition in which a person acts as a result of pressure or coercion.

Jury

A jury is a group of people sworn to render a verdict in a legal case on the basis of evidence presented to them in a court.