1. Ford analyzes production costs for a model: Standard labor hours 50,000, actual labor hours 48,000, standard labor rate $20/hour, actual labor rate $22/hour.
   • Requirements:
     • Apply the revenue recognition principle to determine when Ford should recognize revenue from vehicle sales.
     • Calculate the labor rate variance and efficiency variance.
     • Prepare a variance analysis report incorporating revenue recognition considerations.
     • Recommend strategies to improve labor cost efficiency while adhering to revenue recognition principles.
     • Evaluate the impact of revenue recognition on profitability analysis and decision-making.