Oddo Corporation makes a product with the following standard costs: The company reported the following results concerning this product in December. The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The labor rate variance for December is:
A)$5,372 F
B)$4,998 U
C)$5,372 U
D)$4,998 F

Question

Oddo Corporation makes a product with the following standard costs:  The company reported the following results concerning this product in December.  The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The labor rate variance for December is:
A)$5,372 F 
B)$4,998 U 
C)$5,372 U 
D)$4,998 F

Quizplus · Accepted Answer

The Answer of Oddo Corporation makes a product with the following standard costs:  The company reported the following results concerning this product in December.  The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The labor rate variance for December is:
A)$5,372 F 
B)$4,998 U 
C)$5,372 U 
D)$4,998 F

Oddo Corporation Makes a Product with the Following Standard Costs