10

Direct Labor Variances Alvarado Company produces a product that requires 4 standard direct labor hours per unit at a standard hourly rate of $10.00 per hour, If 2,900 units used 11,800 hours at an hourly rate of $10,40 per hour, what is the direct labor (a) rate variance, (b) time variance, and (c) cost variance? Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. a. Direct labor rate variance 5 b. Direct labor time variance 5