Information regarding Maxwell's direct labor cost for the month of January follows: Direct labor hourly rate paid Total standard direct labor hours for units produced this period Direct labor hours actually worked. Direct labor rate variance $29.20 11,700 11,500 $ 16,700 favorable Required: 1. Compute the standard direct labor wage rate per hour in January. (Round your answer to 2 decimal places.) 2. Compute the direct labor efficiency variance for January. Was this variance favorable or unfavorable? (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.) 1. Standard direct labor rate per hour 2. Direct labor efficiency variance

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Chapter1: Financial Statements And Business Decisions
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Information regarding Maxwell's direct labor cost for the month of January follows:
Direct labor hourly rate paid
$ 29.20
Total standard direct labor hours for units
produced this period
11,700
11,500
$ 16,700 favorable
Direct labor hours actually worked
Direct labor rate variance
Required:
1. Compute the standard direct labor wage rate per hour in January. (Round your answer to 2 decimal places.)
2. Compute the direct labor efficiency variance for January. Was this variance favorable or unfavorable? (Do not round intermediate
calculations. Round your answer to the nearest whole dollar amount.)
1. Standard direct labor rate per hour
2. Direct labor efficiency variance
Transcribed Image Text:Information regarding Maxwell's direct labor cost for the month of January follows: Direct labor hourly rate paid $ 29.20 Total standard direct labor hours for units produced this period 11,700 11,500 $ 16,700 favorable Direct labor hours actually worked Direct labor rate variance Required: 1. Compute the standard direct labor wage rate per hour in January. (Round your answer to 2 decimal places.) 2. Compute the direct labor efficiency variance for January. Was this variance favorable or unfavorable? (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.) 1. Standard direct labor rate per hour 2. Direct labor efficiency variance
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