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 rate variance for February is:
A) $1,146 Unfavorable
B) $1,176 Unfavorable
C) $1,176 Favorable
D) $1,146 Favorable

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 rate variance for February is:
A) $1,146 Unfavorable 
B) $1,176 Unfavorable 
C) $1,176 Favorable 
D) $1,146 Favorable

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 rate variance for February is:
A) $1,146 Unfavorable 
B) $1,176 Unfavorable 
C) $1,176 Favorable 
D) $1,146 Favorable

Majer Corporation Makes a Product with the Following Standard Costs