Machine Builders Inc.adopted a standard cost system several years ago that it uses in conjunction with its process cost system.The per-unit standard costs for direct materials and direct labor for its single product are as follows:
All materials are issued at the beginning of processing.The operating data shown below were taken from the records for July:
The sales volume variance,measured in terms of direct labor cost,for July was:
A)$6,600 favorable.
B)$7,200 favorable.
C)$51,000 unfavorable.
D)$57,600 unfavorable.
E)$72,000 unfavorable.

Question

Machine Builders Inc.adopted a standard cost system several years ago that it uses in conjunction with its process cost system.The per-unit standard costs for direct materials and direct labor for its single product are as follows: 
All materials are issued at the beginning of processing.The operating data shown below were taken from the records for July: 
The sales volume variance,measured in terms of direct labor cost,for July was:
A)$6,600 favorable. 
B)$7,200 favorable. 
C)$51,000 unfavorable. 
D)$57,600 unfavorable. 
E)$72,000 unfavorable.

Quizplus · Accepted Answer

The Answer of Machine Builders Inc.adopted a standard cost system several years ago that it uses in conjunction with its process cost system.The per-unit standard costs for direct materials and direct labor for its single product are as follows: 
All materials are issued at the beginning of processing.The operating data shown below were taken from the records for July: 
The sales volume variance,measured in terms of direct labor cost,for July was:
A)$6,600 favorable. 
B)$7,200 favorable. 
C)$51,000 unfavorable. 
D)$57,600 unfavorable. 
E)$72,000 unfavorable.