Oddo Corporation Makes a Product with the Following Standard Costs

question 119

Multiple Choice

Oddo Corporation makes a product with the following standard costs:

The company reported the following results concerning this product in December.

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 rate variance for December is:

• A)$5,372 F
• B)$4,998 U
• C)$5,372 U
• D)$4,998 F

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Definitions:

Mammoth

An extinct species of large, prehistoric elephants known for their massive size and long tusks, or used to describe something enormous.

Air Currents

Movements of air resulting from atmospheric pressure differences, leading to phenomena like wind.

Breeze

A gentle, light wind that is often considered refreshing and pleasant.

Excavated

The act of digging up or removing earth to uncover and discover something buried.