Joe Malay received the following report on the Division\'s operation for the mon

Question

Joe Malay received the following report on the Division's operation for the month of August: Direct labor rate variance = $25,500 unfavorable. Direct labor efficiency variance = $72,000 (?) The standard calls for 3.10 direct labor hours per unit of output at $28.60 per labor hour. The standard direct labor hours for the units manufactured is 20.00% more than the total direct labor hours actually worked in August. What was the total standard cost applied to production? $46,500 $360,000 $432,000 $306,000 $385,500 Joe Malay received the following report on the Division's operation for the month of August: Direct labor rate variance = $25,500 unfavorable. Direct labor efficiency variance = $72,000 (?) The standard calls for 3.10 direct labor hours per unit of output at $28.60 per labor hour. The standard direct labor hours for the units manufactured is 20.00% more than the total direct labor hours actually worked in August. What was the total standard cost applied to production? $46,500 $360,000 $432,000 $306,000 $385,500

Explanation / Answer

Joe Malay received the following report on the Division's operation for the mon

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