Alpha Inc. is a start-up company that makes high-tech computer accessories. Alpha has budgeted 4 hours of direct labor per unit, at a standard cost of $20 per hour. During September, technicians worked 180 hours to complete 50 units. Alpha paid the technicians $21.50 per hour. What is Alpha's direct labor cost variance for September?

Alpha Inc. is a start-up company that makes high-tech computer accessories. Alpha has budgeted 4 hours of direct labor per unit, at a standard cost of $20 per hour. During September, technicians worked 180 hours to complete 50 units. Alpha paid the technicians $21.50 per hour. What is Alpha's direct labor cost variance for September?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

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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