overestimated standard labor cos changes to the product specificat reduction in direct labor costs due overestimated sctandard lobor t:me

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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QUESTION 6
Which of the following may be the likely reason for a favorable direct labor rate variance?
O overestimated standard labor cost,
O changes to the product specification which reduced manufacturing time.
O reduction in direct labor costs due to a strike in the factory.
O overestimated standard labor time per unit.
Transcribed Image Text:QUESTION 6 Which of the following may be the likely reason for a favorable direct labor rate variance? O overestimated standard labor cost, O changes to the product specification which reduced manufacturing time. O reduction in direct labor costs due to a strike in the factory. O overestimated standard labor time per unit.
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