Question
Alexis Company recently completed 12,200 units of its single product, consuming 37,000 labor hours that cost the firm $621,600. According to manufacturing specifications, each unit
Alexis Company recently completed 12,200 units of its single product, consuming 37,000 labor hours that cost the firm $621,600. According to manufacturing specifications, each unit should have required 3 hours of labor time at $17.20 per hour.
On the basis of this information, determine Alexis's labor rate variance and labor efficiency variance.
| Rate | Efficiency | |
| A. | $ 14,640 F | $ 6,720 F |
| B. | $ 14,640 F | $ 6,720 U |
| C. | $ 14,800 F | $ 6,880 F |
| D. | $ 14,800 F | $ 6,880 U |
| E. | $ 14,800 U | $ 6,880 U |
Choice A
Choice B
Choice C
Choice D
Choice E
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Cima Official Exam Practice Kit Fundamentals Of Management Accounting Cima Certificate In Business Accounting 2006 Syllabus
Authors: Walter Allan
2nd Edition
0750687177, 978-0750687171
