Matson's labor rate variance for April is:
A) $7,500 unfavorable.
B) $8,000 unfavorable.
C) $4,200 favorable.
D) $3,300 unfavorable.

Name: Matson's labor rate variance for April is: A) $7,500 unfavorable. B) $8,000 unfavorable. C) $4,200 favorable. D) $3,300 unfavorable.
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Question

Quizplus · Accepted Answer

The labor rate variance is calculated as (Actual Hours x Actual Rate) - (Actual Hours x Standard Rate). The unfavorable variance of $7,500 indicates that the actual labor rate was higher than the standard rate.

Matson's Labor Rate Variance for April Is