Question

coll planned to produce 32000 units each month. For april the operating data show that 31500...

coll planned to produce 32000 units each month. For april the operating data show that 31500 units of product were produced. During April 160000 pounds of materials were purchased at a price of 2.20 per pound. 159000 pounds of material and 94500 direct labor hours were used in production

In analyzing the labor efficiency variance for april, which of the following is definitely true?

A. workers were more experienced than standards anticipated, indicated by the unfavorable labor price variance.

B. Workers took exactly rhe time expected to complete production

C. Workers were less experienced than standards anticipated, indicated by the unfavorable materials efficiency variance.

D. workers were less experienced than standards anticpated, indicated by the favorable labor price variance.

Homework Answers

Answer #1
In analyzing the labor efficiency variance for april, which of the following is definitely true?
A. workers were more experienced than standards anticipated, indicated by the unfavorable labor price variance.
Option Incorrect ,data incomplete to comment on this.
B. Workers took exactly rhe time expected to complete production
Option Incorrect ,data incomplete to comment on this.
C. Workers were less experienced than standards anticipated, indicated by the unfavorable materials efficiency variance.
Option Correct, 32000 units to be produced but only 31500 units produced.
D. workers were less experienced than standards anticpated, indicated by the favorable labor price variance
Option Incorrect ,data incomplete to comment on this.
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