Bartels Corp.produces woodcarvings.It takes two hours of direct labor to produce a carving.Bartels' standard labor cost is $12 per hour.During August,Bartels produced 10,000 carvings and used 21,040 hours of direct labor at a total cost of $250,376.What is Bartels' labor efficiency variance for August?
A) $10,376 unfavorable
B) $2,104 unfavorable
C) $2,104 favorable
D) $12,480 unfavorable
E) $ 12,480 favorable

Question

Quizplus · Accepted Answer

($12 x 21,040 hrs.) - (2 hrs. x 10,000 units x $12) = $12,480 unfavorable