Capital Leather Company produces leather footballs. The standard cost for each football is: $\begin{array}{ll}
\text { Direct material}&\text { 2 feet of leather at $ \$ 4.00 \mathrm{per} $ foot }\
\text { Direct labor }&\text { $ \quad 1.5 $ hours at $ \$ 12.00 $ per hour}\
\end{array}$
During February, 1,200 footballs were produced and 2,600 feet of leather were purchased at $4.25 per foot. Production usage was 2,300 feet. Direct labor cost incurred was $20,930 for 1,820 hours. How much is the direct labor rate variance?

Question

Capital Leather Company produces leather footballs. The standard cost for each football is: $\begin{array}{ll}
\text { Direct material}&\text { 2 feet of leather at $ \$ 4.00 \mathrm{per} $ foot }\
\text { Direct labor  }&\text { $ \quad 1.5 $ hours at $ \$ 12.00 $ per hour}\
\end{array}$
 During February, 1,200 footballs were produced and 2,600 feet of leather were purchased at $4.25 per foot. Production usage was 2,300 feet. Direct labor cost incurred was $20,930 for 1,820 hours. How much is the direct labor rate variance?

Quizplus · Accepted Answer

The Answer of Capital Leather Company produces leather footballs. The standard cost for each football is: $\begin{array}{ll}
\text { Direct material}&\text { 2 feet of leather at $ \$ 4.00 \mathrm{per} $ foot }\
\text { Direct labor  }&\text { $ \quad 1.5 $ hours at $ \$ 12.00 $ per hour}\
\end{array}$
 During February, 1,200 footballs were produced and 2,600 feet of leather were purchased at $4.25 per foot. Production usage was 2,300 feet. Direct labor cost incurred was $20,930 for 1,820 hours. How much is the direct labor rate variance?

Capital Leather Company Produces Leather Footballs During February, 1,200 Footballs Were Produced and 2,600 Feet of Each