The following labor standards have been established for a particular product: The following data pertain to operations concerning the product for the last month: What is the labor rate variance for the month?
A)$1,325 U
B)$1,780 F
C)$430 F
D)$430 U

Question

The following labor standards have been established for a particular product:  The following data pertain to operations concerning the product for the last month:  What is the labor rate variance for the month?
A)$1,325 U 
B)$1,780 F 
C)$430 F 
D)$430 U

Quizplus · Accepted Answer

AH F1F1F1S1F1F1F10 AR = $94,340
Labor rate variance = AH (AR - SR)= AH F1F1F1S1F1F1F10 AR - AH F1F1F1S1F1F1F10 SR
= $94,340 - (5,300 hours F1F1F1S1F1F1F10 $17.55 per hour)= $1,325 U

The Following Labor Standards Have Been Established for a Particular