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ork Saved Help Save& Exit S Check my w Required information The following inform

ID: 2564108 • Letter: O

Question

ork Saved Help Save& Exit S Check my w Required information The following information applies to the questions displayed below) A manufactured product has the following information for June. Standard Direct materials Direct labor Overhead Units manufactured (6 1bs. $7 per 1b.) (3 hrs. e $16 per hr (3 hra. e $11 per hr $283,300 50,800 1be $7.20 per lb. 24,900 hrs. $16.50 per hr. 8,400 Compute the direct labor rate variance and the direct labor efficiency variance. Indicate whether each variance is favorable or unfavorable. AH = Actual Hours SH Standard Hours AR Actual Rate SR Standard Rate l Cost Prex 5 of 6 Next

Explanation / Answer

Actual Cost Standard cost AH AR AH SR SH SR 24,900 16.5 24,900 16 25200 16 410850 398400 403200 12450 4,800 direct labor rate variance 12,450 U direct labor Efficiency variance 4800 F Direct labor spending variance 7,650 U