A manufacturing process has a standard labour rate of $7.20 per hour. Workers were actually paid $7.50 per hour. Each unit should take 1.8 hours, but actual labour per unit was 1.9 hours. Production for the period was 800 units. What is the labour price variance?
A manufacturing process has a standard labour rate of $7.20 per hour. Workers were actually paid $7.50 per hour. Each unit should take 1.8 hours, but actual labour per unit was 1.9 hours. Production for the period was 800 units. What is the labour price variance?
Chapter8: Standard Costs And Variances
Section: Chapter Questions
Problem 8EB: Case made 24,500 units during June, using 32,000 direct labor hours. They expected to use 31,450...
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What is the labour price variance? Accounting
Transcribed Image Text:A manufacturing process has a standard labour
rate of $7.20 per hour. Workers were actually paid
$7.50 per hour. Each unit should take 1.8 hours,
but actual labour per unit was 1.9 hours.
Production for the period was 800 units.
What is the labour price variance?
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