Northside Manufacturing has a direct labor standard of 2.5 hours per unit of output. Each employee has a standard wage rate of $16.80 per hour. During May, Northside paid $134,400 to employees for 8,400 hours worked. 3,600 units were produced during May. What is the direct labor efficiency variance? a) $10,080 favorable b) $4,200 unfavorable c) $8,400 favorable d) $12,600 unfavorable

Northside Manufacturing has a direct labor standard of 2.5 hours per unit of output. Each employee has a standard wage rate of $16.80 per hour. During May, Northside paid $134,400 to employees for 8,400 hours worked. 3,600 units were produced during May. What is the direct labor efficiency variance? a) $10,080 favorable b) $4,200 unfavorable c) $8,400 favorable d) $12,600 unfavorable

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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