Majer Corporation makes a product with the following standard costs: The company reported the following results concerning this product in February.
The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.The labor efficiency variance for February is:
A) $650 Unfavorable
B) $650 Favorable
C) $620 Favorable
D) $620 Unfavorable

Question

Majer Corporation makes a product with the following standard costs:  The company reported the following results concerning this product in February.
 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.The labor efficiency variance for February is:
A) $650 Unfavorable 
B) $650 Favorable 
C) $620 Favorable 
D) $620 Unfavorable

Quizplus · Accepted Answer

The Answer of Majer Corporation makes a product with the following standard costs:  The company reported the following results concerning this product in February.
 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.The labor efficiency variance for February is:
A) $650 Unfavorable 
B) $650 Favorable 
C) $620 Favorable 
D) $620 Unfavorable

Majer Corporation Makes a Product with the Following Standard Costs