The flexible budget breaks down into the rate and efficiency variances for direct labor.
Required:
a.List two reasons why actual wage rates might differ from standard wage rates,resulting in a direct labor rate variance.
b.List two reasons why actual labor hours might differ from standard labor hours,resulting in a direct labor efficiency variance.
Unit 6-3,

Question

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The Answer of The flexible budget breaks down into the rate and efficiency variances for direct labor.
Required:
a.List two reasons why actual wage rates might differ from standard wage rates,resulting in a direct labor rate variance.
b.List two reasons why actual labor hours might differ from standard labor hours,resulting in a direct labor efficiency variance.
Unit 6-3,

The Flexible Budget Breaks Down into the Rate and Efficiency