Continuing Ultimate U-bolts above. Which is true?
A)The workers were efficient because UU saved $825 overall
B)The workers were efficient because they used 210 fewer hours than allowed
C)The direct labor efficiency variance is $3,780 U
D)The direct labor efficiency variance cannot be calculated from the information provided
E)None of the above

Question

Quizplus · Accepted Answer

The fact that the workers used 210 fewer hours than allowed indicates that they were efficient. The savings of $825 could have been due to various factors and cannot be solely attributed to the workers' efficiency. The direct labor efficiency variance cannot be calculated without additional information such as the actual hours worked and the standard rate per hour.

Continuing Ultimate U-Bolts Above. Which Is True