CIMA Exam CIMAPRA17-BA2-1 Topic 1 Question 49 Discussion

Actual exam question for CIMA's CIMAPRA17-BA2-1 exam

Question #: 49
Topic #: 1

[All CIMAPRA17-BA2-1 Questions]

Refer to the exhibit.

The following standard cost information relates to the production department of BE Ltd.

The actual data for the month of March was as follows:

What is the direct labour efficiency variance (to the nearest whole number)?

A6,250 favourable

B6,250 adverse

C6,406 favourable

D6,406 adverse

Show Suggested Answer

Suggested Answer: C

by Haydee at Feb 24, 2023, 03:37 PM

Limited Time Offer

25%

Off

Get Premium CIMAPRA17-BA2-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Ramonita

1 months ago

Ah, the joys of standard costing and variance analysis. It's like a sudoku puzzle, but with numbers that can make your head spin! Time to put on my thinking cap and get this right.

upvoted 0 times

Glenna

6 days ago

I think the answer is C) 6,406 favourable.

upvoted 0 times

...

Hui

1 months ago

This is a tricky one! I wonder if the exam writer is trying to catch us out with the rounding to the nearest whole number. I better work this through step-by-step to make sure I get the right answer.

upvoted 0 times

Dortha

4 days ago

Yes, that makes sense. The direct labour efficiency variance is calculated by multiplying the standard rate by the difference between actual hours worked and standard hours allowed.

upvoted 0 times

...

Stephane

10 days ago

I think it's A) 6,250 favourable because the actual hours worked were less than the standard hours allowed.

upvoted 0 times

...

Tu

14 days ago

A) 6,250 favourable

upvoted 0 times

...

Okay, let's see... The standard direct labor hours are 62,500, and the actual direct labor hours are 56,094. That's a difference of 6,406 hours. Now, which way is the variance favorable or adverse? I better double-check my work!

upvoted 0 times

...

Blythe

2 months ago

Hmm, this seems like a straightforward variance calculation. I'll need to compare the standard and actual direct labor hours to determine the efficiency variance.

upvoted 0 times

Ernestine

16 days ago

C) 6,406 favourable

upvoted 0 times

...

Danilo

1 months ago

Let's calculate the direct labor efficiency variance using the standard and actual hours.

upvoted 0 times

...

Laine

1 months ago

A) 6,250 favourable

upvoted 0 times

...

Lynna

2 months ago

I'm not sure, but I think it might be C) 6,406 favourable.

upvoted 0 times

...

Lizette

2 months ago

I agree with Huey, the direct labour efficiency variance seems to be favourable.

upvoted 0 times

...

Huey

2 months ago

I think the answer is A) 6,250 favourable.

upvoted 0 times

...

CIMA Exam CIMAPRA17-BA2-1 Topic 1 Question 49 Discussion

Contribute your Thoughts:

Ramonita

Glenna

Hui

Dortha

Stephane

Tu

Tanesha

Blythe

Ernestine

Danilo

Laine

Lynna

Lizette

Huey