EKPN CoProduces Wooden Boxes

Multiple Choice

EKPN Co.produces wooden boxes.The company's standards per box require 6 boards, each costing $10 per board, and half of an hour of direct labour.The standard labour rate is $15 per hour.In August, EKPN Co.Purchased 12,000 boards for a total cost of $123,000.It used 11,500 boards to manufacture 1,900 boxes.Total labour hours were 1,000 hours, and total labour costs were $16,250. What was the labour quantity variance for August?

A) $750 F
B) $750 U
C) $13,500 F
D) $13,500 U