The standard cost for 5,000 units of a product and 10,000 direct labor hours is...
90.2K
Verified Solution
Link Copied!
Question
Accounting
The standard cost for 5,000 units of a product and 10,000 direct labor hours is as follows: Standard cost description Standard quantity per unit Standard rate Standard cost per unit Direct materials 4 pounds @ $3 $12 Direct labor 2 hours @ $10 $20 Variable overhead 2 hours @ $8 $16 Fixed overhead $25,000 per 5,000 units $5 Total standard cost per unit $53 The actual direct labor hours used to produce 4,950 units was 9,700 hours. What is the direct labor efficiency variance?
A. $3,000 unfavorable. B. $3,000 favorable. C. $2,000 unfavorable. D. $2,000 favorable.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
