Madrid Co. has a direct labor standard of 6 hours per unit of output. Each employee has a standard wage rate of $13.80 per hour. During February, Madrid Co. paid $99,500 to employees for 8,300 hours worked. 1,430 units were produced during February. What is the direct labor efficiency variance?

Madrid Co. has a direct labor standard of 6 hours per unit of output. Each employee has a standard wage rate of $13.80 per hour. During February, Madrid Co. paid $99,500 to employees for 8,300 hours worked. 1,430 units were produced during February. What is the direct labor efficiency variance?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter8: Standard Costs And Variances

Section: Chapter Questions

Problem 7PB: Marymount Company makes one product. In the month of April, it made 3,500 units. Workers were paid...

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