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Munster and Moss Limited Budgeted Sales and Production of 1650

Question 28

Multiple Choice

Munster and Moss Limited budgeted sales and production of 1650 units in the month of July 20X2.In the event, the company produced and sold 1665 units.The budgeted labour rate per unit was £12.50, whereas the actual rate was £12.40. Budget labour hours per unit of product was 4.3 hours, whereas actual the actual labour hours figure was 4.6 per unit.
What was the labour efficiency variance for July 20X2?


A) £6187.50
B) £5477.85
C) £6139.80 (A)
D) £6243.75 (A)

Correct Answer:

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