Sande Corporation Makes a Product with the Following Standard Costs

question 149

Multiple Choice

Sande Corporation makes a product with the following standard costs: In November the company's budgeted production was 2,900 units but the actual production was 3,000 units. The company used 27,670 grams of the direct material and 1,390 direct labor-hours to produce this output. During the month, the company purchased 31,700 grams of the direct material at a cost of $196,540. The actual direct labor cost was $29,607 and the actual variable overhead cost was $2,502.

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 labor efficiency variance for November is:

• A)$2,530 U
• B)$2,530 F
• C)$2,343 F
• D)$2,343 U

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Definitions:

Cultural Products

Objects, symbols, or practices that possess particular meaning within a culture, including literature, art, music, and traditions.

Social Norms

Shared guidelines or rules within a group or society about how to behave, which can influence an individual's behavior.

Cultural Liabilities

Drawbacks or disadvantages associated with belonging to a certain culture, especially when interacting in a broader or different cultural context.

Propaganda

Information, especially of a biased or misleading nature, used to promote or publicize a particular political cause or point of view.