Select all that were the source for the Direct Labor favorable effeciency variance. a. Actual number of jobs completed was greater than budgeted number of jobs. b. Actual direct labor hours per job were greater than budgeted direct labor hours per job. c. Actual direct labor hours per job were less than budgeted direct labor hours per job. d. Actual number of jobs completed was less than budgeted number of jobs. e. Actual direct labor cost per hour was greater than budgeted direct labor cost per hour. f. Actual direct labor cost per hour was less than budgeted direct labor cost per hour. QUESTION 3 Select all that were the source for the Indirect Costs unfavorable rate variance. a. Actual number of direct labor hours per job was less than budgeted direct labor hours per job. b. Actual number of jobs completed was less than budgeted number of jobs. c. Actual number of jobs completed was greater than budgeted number of jobs. d. Actual number of direct labor hours per job was greater than budgeted direct labor hours per job. e. Actual indirect costs per direct labor hour was greater than budgeted indirect cost per direct labor hour. f. Actual indirect costs

Select all that were the source for the Direct Labor favorable effeciency variance. a. Actual number of jobs completed was greater than budgeted number of jobs. b. Actual direct labor hours per job were greater than budgeted direct labor hours per job. c. Actual direct labor hours per job were less than budgeted direct labor hours per job. d. Actual number of jobs completed was less than budgeted number of jobs. e. Actual direct labor cost per hour was greater than budgeted direct labor cost per hour. f. Actual direct labor cost per hour was less than budgeted direct labor cost per hour. QUESTION 3 Select all that were the source for the Indirect Costs unfavorable rate variance. a. Actual number of direct labor hours per job was less than budgeted direct labor hours per job. b. Actual number of jobs completed was less than budgeted number of jobs. c. Actual number of jobs completed was greater than budgeted number of jobs. d. Actual number of direct labor hours per job was greater than budgeted direct labor hours per job. e. Actual indirect costs per direct labor hour was greater than budgeted indirect cost per direct labor hour. f. Actual indirect costs

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter9: Standard Costing: A Functional-based Control Approach

Section: Chapter Questions

Problem 24E: Which of the following is true concerning labor variances that are not material in amount? a. They...

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Which of the following is a possible cause of an unfavorable labor rate variance? A. hiring too many workers B. hiring higher-quality workers at a higher wage C. making too many units D. purchasing too much material
What are some possible reasons for a direct labor time variance? A. utility usage decrease B. less qualified workers C. office supplies spending D. sales decline
Breakaway Companys labor information for May is as follows: A. What is the actual direct labor rate per hour? B. What is the standard direct labor rate per hour? C. What was the total standard direct labor cost for May? D. What was the direct labor rate variance for May?
What are some possible reasons for a labor rate variance? A. hiring of less qualified workers B. an excess of material usage C. material price increase D. utilities usage change
Select all that were the source for the Direct Labor favorable rate variance. a. Actual direct labor hours per job were less than budgeted direct labor hours per job. b. Actual direct labor cost per hour was less than budgeted direct labor cost per hour. c. Actual direct labor hours per job were greater than budgeted direct labor hours per job. d. Actual number of jobs completed was greater than budgeted number of jobs. e. Actual number of jobs completed was less than budgeted number of jobs. f. Actual direct labor cost per hour was greater than budgeted direct labor cost per hour.
Which of the following is true of direct labor variances? a. The labor efficiency variance measures the difference between what was paid to direct laborers and what should have been paid. b. The labor rate variance measures the difference between the labor hours that were actually used and the labor hours that should have been used. c. The labor rate variance measures the difference between the labor hours that were originally budgeted and the labor hours that should have been used. d. The labor rate and labor efficiency variances will always add up to the total labor variance. e. The labor rate variance measures the difference between the labor hours that were actually used and the labor hours that were originally budgeted.
Select all that were the source for the Indirect Costs favorable efficiency variance. a. Actual indirect costs per direct labor hour was less than budgeted indirect cost per direct labor hour. b. Actual indirect costs per direct labor hour was greater than budgeted indirect cost per direct labor hour. c. Actual number of jobs completed was less than budgeted number of jobs. d. Actual number of jobs completed was greater than budgeted number of jobs. e. Actual number of direct labor hours per job was less than budgeted direct labor hours per job. f. Actual number of direct labor hours per job was greater than budgeted direct labor hours par job. QUESTION 5 Select all that were the source for the Sales Activity favorable variance. a. Actual number of units completed was greater than budgeted number of units. b. Actual selling price per unit was less than budgeted. c. Actual number of units completed was less than budgeted number of units. d. Actual selling price per unit was greater than…
The direct materials and direct labour standards for one bottle of Clean-All spray cleaner are given below: Standard Quantity Standard Price Standard Cost or Rate $ 0.20 per millilitre $15.00 per hour or Hours Direct materials Direct labour 6.0 millilitres 0.2 hours $1.20 $3.00 During the most recent month, the following activity was recorded: a. 20,000 millilitres of material was purchased at a cost of $0.25 per millilitre. b. All of the material was used to produce 3,000 bottles of Clean-All. c. 625 hours of direct labour time was recorded at a total labour cost of $10,000. Required: 1. Compute the direct materials price and quantity variances for the month. (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (i.e., zero variance).) Materials price variance Materials quantity variance
Which of the following statements about fixed overhead variances is FALSE? An unfavorable volume variance means that a firm’s production facilities were under-utilized by producing less units of products than budgeted. Fixed overhead variances consist of a budget variance and a volume variance. The volume variance is a measure of facility utilization. The budget variance represents the difference between the original budgeted fixed overhead cost and the applied fixed overhead cost during a period.
The variable overhead spending variance is most effective in measuring: O how well overhead spending matches the targets set in the original budget at the beginning of the year. O the efficiency with which the activity base was utilized in production. O the excessive use of overhead resources. O the utilization of plant facilities.
The labor efficiency variance is the difference between the actual quantity of hours at the standard rate and the standard direct labor hours at the standard rate. A. True B. False
Which of the following statements about fixed overhead variances is FALSE? O The budget variance represents the difference between the original budgeted fixed overhead cost and the applied fixed overhead cost during a period. O An unfavorable volume variance means that a firm's production facilities were under-utilized by producing less units of products than budgeted. O The volume variance is a measure of facility utilization. O Fixed overhead variances consist of a budget variance and a volume variance. Ne: Previous