Given the following information, calculate the direct labour rate variance.

Actual direct labour hours		34 500
Standard direct labour hours		35 000
Total actual direct labour cost		$241 500
Direct labour efficiency variance (F)		$3,200

Select one:

a. $20,700 (U)

b. $20,700 (F)

c. $21,000 (F)

d. $17,250 (U)

Linear programming is useful:

Select one:

a. only when an activity-based costing system is in use.

b. when there are many products.

c. when there is only one product.

d. when there is only one constraint.

Betsy Manufacturing is preparing its purchases budget for the 2nd quarter of the year. The following information is given in units:

Beginning Inventory Ending Inventory

Balance 2nd quarter 100 250

Sales forecast for 2nd quarter = 1000

How many units should be purchased in the 2nd quarter?

Select one:

a. 1250

b. 900

c. 1150

d. 1000

Dubbo Ltd has accumulated the following data for the most recent 6-month period. Maintenance services have been determined to be a mixed cost.

Month	Direct labour hours	Maintenance services
July	25,000	$45,000
August	18,000	28,000
September	21,000	40,000
October	6,000	13,000
November	12,000	20,000
December	9,000	20,000

Management believes that maintenance cost is a mixed cost that depends on direct labour hours. Using the high-low method to estimate the variable component of this cost, the estimate would be closest to:

Select one:

a. $0.59 per direct labour hour

b. $0.69 per direct labour hour

c. $1.60 per direct labour hour

d. $1.68 per direct labour hour