The Odle Company Makes and Sells a Single Product Called

question 13

Multiple Choice

The Odle Company makes and sells a single product called a Kitt. Odle uses a standard costing system. Each Kitt has a standard cost of 5 pounds of material at $12 per pound and 0.9 direct labor-hours at $15 per hour. There were no inventories of any kind on June 1. During June, the following events occurred:

• Purchased 17,000 pounds of material at a total cost of $190,000.
• Used 15,000 pounds of material to produce 2,400 Kitts.
• Used 1,900 hours of direct labor time at a total cost of $38,000.
-To record the use of direct materials in production,the general ledger would include what kind of entry to the Materials Quantity Variance Account?

• A)$46,000 debit
• B)$60,000 credit
• C)$60,000 debit
• D)$36,000 debit

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Definitions:

Stimulants

Substances that increase activity in the brain and nervous system, enhancing alertness and energy.

Depressants

Substances that reduce the activity of the central nervous system, leading to effects such as relaxation, reduced anxiety, and sleepiness.

Narcotics

Narcotics are drugs that relieve pain and can induce sleep, but also have potential for dependency and abuse.

Planning

The process of thinking about and organizing the activities required to achieve a desired goal, involving foresight and strategic decision-making.