Figure 10-6. Extreme Builders constructs houses.The standard labor rate is $25 per hour and the standard number of hours is 15,000 hours per home.During the year,it constructed 12 homes using 18,000 labor hours per home and a rate of $28 per hour.
Refer to Figure 10-6.Calculate the labor efficiency variance.
A)$1,008,000 F
B)$900,000 U
C)$1,008,000 U
D)$900,000 F

Question

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The Answer of Figure 10-6. Extreme Builders constructs houses.The standard labor rate is $25 per hour and the standard number of hours is 15,000 hours per home.During the year,it constructed 12 homes using 18,000 labor hours per home and a rate of $28 per hour.
Refer to Figure 10-6.Calculate the labor efficiency variance.
A)$1,008,000 F
B)$900,000 U
C)$1,008,000 U
D)$900,000 F