Tharaldson Corporation makes a product with the following standard costs: The company reported the following results concerning this product in June.
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 efficiency variance for June is:
A) $12,540 Favorable
B) $13,300 Unfavorable
C) $12,540 Unfavorable
D) $13,300 Favorable

Question

Tharaldson Corporation makes a product with the following standard costs:  The company reported the following results concerning this product in June.
 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 efficiency variance for June is:
A) $12,540 Favorable 
B) $13,300 Unfavorable 
C) $12,540 Unfavorable 
D) $13,300 Favorable

Quizplus · Accepted Answer

The Answer of Tharaldson Corporation makes a product with the following standard costs:  The company reported the following results concerning this product in June.
 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 efficiency variance for June is:
A) $12,540 Favorable 
B) $13,300 Unfavorable 
C) $12,540 Unfavorable 
D) $13,300 Favorable

Tharaldson Corporation Makes a Product with the Following Standard Costs