Use the following performance report for a cost center of the Dry Cat Food Division for the month ended December 31 to answer the question below.
-What is the direct labor variance between the actual results and the flexible budget?

Question

Use the following performance report for a cost center of the Dry Cat Food Division for the month ended December 31 to answer the question below.  
-What is the direct labor variance between the actual results and the flexible budget?

Quizplus · Accepted Answer

The direct labor variance is the difference between the actual direct labor cost and the flexible budget direct labor cost. In this case, the actual direct labor cost is $70 and the flexible budget direct labor cost is $60. Therefore, the direct labor variance is $70 - $60 = $10 (U).

Use the Following Performance Report for a Cost Center of the Dry