Ciubal Corporation has provided the following data concerning its direct labor costs for December: The Labor Rate Variance for December would be recorded as a:
A)credit of $19,440.
B)credit of $21,168.
C)debit of $19,440.
D)debit of $21,168.

Question

Ciubal Corporation has provided the following data concerning its direct labor costs for December:  The Labor Rate Variance for December would be recorded as a:
A)credit of $19,440. 
B)credit of $21,168. 
C)debit of $19,440. 
D)debit of $21,168.

Quizplus · Accepted Answer

Labor rate variance = AH(AR - SR)
= 26,460 hours ($13.80 per hour - $13.00 per hour)
= $365,148 - $343,980 = $21,168 U

Ciubal Corporation Has Provided the Following Data Concerning Its Direct