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Which of the following might explain an adverse direct labour cost variance?
1. Working overtime
2. Idle time
3. Poor productivity
A. Reasons 1 and 2 only
B. Reasons 1 and 3 only
C. Reasons 2 and 3 only
D. Reason 3 onlyAnswer is D. I am clear about it.
My question is if it ask for adverse direct labor efficiency variance so what will be answer? Like here, we are not including A and B as it is asking for direct labor cost and these are both indirect labor cost.
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