Which one of the following is the difference between the actual and standard direct labor hours for the units manufactured,multiplied by the standard hourly wage rate per hour?
A)Direct labor price variance.
B)Direct labor efficiency variance.
C)Total direct labor standard cost variance.
D)Direct labor flexible-budget variance.
E)Direct labor operating-income variance.

Question

Quizplus · Accepted Answer

The difference between actual and standard direct labor hours is called direct labor efficiency variance, which captures the effect of using more or fewer hours than expected to produce a specific output. Multiplying this variance by the standard hourly wage rate gives the total direct labor efficiency variance. The other choices do not match this definition.

Which One of the Following Is the Difference Between the Actual