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Krizun Industries makes heavy construction equipment. The standard for a particular crane calls for 12 direct labor-hours at
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Answer #1

Labor efficiency variance = (SH - AH) * SR

(900*12 - AH) * 16 = - 4400

(10,800 - AH) = -4400/16 = - 275

AH = 10,800 + 275

= 11,075

OPTION C

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