A direct-labor eﬃciency variance cannot be caused by:
A)inexperienced employees.
B)poor quality raw materials.
C)employee ineﬃciency.
D)an out-of-date labor time standard.
E)producing fewer ﬁnished units than originally planned.

Question

Quizplus · Accepted Answer

Producing fewer finished units than originally planned affects the volume of production, not the efficiency of labor used in production.

A Direct-Labor Eﬃciency Variance Cannot Be Caused By