The Dillon Corporation Makes and Sells a Single Product

question 54

Multiple Choice

The Dillon Corporation makes and sells a single product.Overhead costs are applied on the basis of standard direct labor-hours.The standard cost card shows that 5 direct labor-hours are required per unit.The Dillon Corporation had the following budgeted and actual data for March: The variable overhead efficiency variance for March is:

• A)$12,400 F
• B)$6,160 U
• C)$12,400 U
• D)$6,160 F

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Definitions:

Criterion Variable

The dependent variable in a statistical analysis, which is predicted or explained by other variables.

Dependent Variable

A variable in experimental research that is expected to change as a result of manipulations to the independent variable.

Predictor Variables

Variables that are used in statistical models to predict outcomes of interest.

Criterion Variable

The variable that is predicted or explained in a study, often considered the outcome or dependent variable.