Fabulous Fabrics budgeted to manufacture 1900 curtains in February. Actual output for March was with total direct materials cost of $3400 and total direct labor cost of $5550. The direct labor standard is 20 minutes per curtain at a direct labor rate of $15.00 per hour. The direct material standard is 0.75 yards of direct materials per curtain at a cost of $10 per pound. Actual direct labor hours were 275. A variance analysis for February may show a direct labor rate variance of (Round any intermediary calculations and your final answer to the nearest cent.)
A)$7,252.00 favorable.
B)$7,252.00 unfavorable.
C)$1,424.50 favorable.
D)$1,424.50 unfavorable.

Question

Fabulous Fabrics budgeted to manufacture 1900 curtains in February. Actual output for March was with total direct materials cost of $3400 and total direct labor cost of $5550. The direct labor standard is 20 minutes per curtain at a direct labor rate of $15.00 per hour. The direct material standard is 0.75 yards of direct materials per curtain at a cost of $10 per pound. Actual direct labor hours were 275. A variance analysis for February may show a direct labor rate variance of (Round any intermediary calculations and your final answer to the nearest cent.) 
A)$7,252.00 favorable. 
B)$7,252.00 unfavorable. 
C)$1,424.50 favorable. 
D)$1,424.50 unfavorable.

Quizplus · Accepted Answer

The Answer of Fabulous Fabrics budgeted to manufacture 1900 curtains in February. Actual output for March was with total direct materials cost of $3400 and total direct labor cost of $5550. The direct labor standard is 20 minutes per curtain at a direct labor rate of $15.00 per hour. The direct material standard is 0.75 yards of direct materials per curtain at a cost of $10 per pound. Actual direct labor hours were 275. A variance analysis for February may show a direct labor rate variance of (Round any intermediary calculations and your final answer to the nearest cent.) 
A)$7,252.00 favorable. 
B)$7,252.00 unfavorable. 
C)$1,424.50 favorable. 
D)$1,424.50 unfavorable.

Fabulous Fabrics Budgeted to Manufacture 1900 Curtains in February