The per-unit standards for direct labor are 1.8 direct labor hours at $16 per hour. If, in producing 1,500 units, the actual direct labor cost was $42,500 for 2,600 direct labor hours worked, what is the total direct labor variance?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
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Chapter8: Standard Costs And Variances
Section: Chapter Questions
Problem 8PA: Breakaway Companys labor information for May is as follows: A. What is the actual direct labor rate...
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What is the total direct labor variance?

The per-unit standards for direct labor
are 1.8 direct labor hours at $16 per hour.
If, in producing 1,500 units, the actual
direct labor cost was $42,500 for 2,600
direct labor hours worked, what is the
total direct labor variance?
Transcribed Image Text:The per-unit standards for direct labor are 1.8 direct labor hours at $16 per hour. If, in producing 1,500 units, the actual direct labor cost was $42,500 for 2,600 direct labor hours worked, what is the total direct labor variance?
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