At Sandra's Sewing Company the actual cost of direct labour per hour is $15.20 and the standard cost of direct labour per hour is $14.00. One and a half budgeted direct labour hours are allowed per finished unit. During the current period, 500 finished goods were produced using 2,050 direct labour hours.
-How much is the direct labour price variance at Sandra's Sewing Company?
A) $600 favourable
B) $2,460 favourable
C) $2,460 unfavourable
D) $600 unfavourable
Correct Answer:
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