Annapolis Company completes job #601 which has a standard of 640 labor hours at a standard rate of $19.70 per hour. The job was completed in 600 hours and the average actual labor rate was $19.70 per hour. What is the labor efficiency (quantity) variance?

Annapolis Company completes job #601 which has a standard of 640 labor hours at a standard rate of $19.70 per hour. The job was completed in 600 hours and the average actual labor rate was $19.70 per hour. What is the labor efficiency (quantity) variance?

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter7: The Master Budget And Flexible Budgeting

Section: Chapter Questions

Problem 23Q: If a factory operates at 100% of capacity one month, 90% of capacity the next month, and 105% of...

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Question

What is the labor efficiency variance?

Annapolis Company completes job #601 which has a
standard of 640 labor hours at a standard rate of $19.70
per hour. The job was completed in 600 hours and the
average actual labor rate was $19.70 per hour.
What is the labor efficiency (quantity) variance?

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