Question: Please help Mr. Jack mentioned that there are new employees working on the production line. How can trainees affect production and standard cost variances? Trainees
Please help
Mr. Jack mentioned that there are new employees working on the production line. How can trainees affect production and standard cost variances? Trainees may be paid less than the seasoned workers causing an unfavorable labor spending variance. Trainees might work slower causing an unfavorable labor efficiency variance. Trainees might work slower causing an unfavorable labor spending variance. Trainees may make mistakes in the process causing waste or spoilage which in turn, results in a favorable material quantity variance
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
