Information Relating to Direct Labor for the McGill Company Follow

question 39

Multiple Choice

Information relating to direct labor for the McGill Company follow: The entry to record the direct labor cost is:

• A)Work in process 53,200 Labor rate variance 2,800 Labor efficiency variance 1,800 Payroll 48,600
• B)Work in process 50,400 Labor rate variance 2,800 Payroll 53,200
• C)Work in process 48,600 Labor rate variance 2,800 Labor efficiency variance 1,800 Payroll 53,200
• D)Work in process 51,400 Labor efficiency variance 1,800 Payroll 53,200

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Definitions:

Decimal Places

The digits located after the decimal point in a number, representing parts of ten.

Compounded Continuously

Compounded continuously refers to the calculation of interest earned on an investment or loan where the interest is added perpetually at every possible moment, following the formula \(A = Pe^{rt}\), where \(A\) is the amount, \(P\) the principal, \(r\) the rate, and \(t\) the time.

Saving Account

A type of bank account where money is deposited to earn interest over time.

Decimal Places

The tally of numbers present right of the decimal point in a given number.