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A manufacturing company sets a standard labor rate of $20 per hour and a standard labor hours per unit of 2 hours. During the production

A manufacturing company sets a standard labor rate of $20 per hour and a standard labor hours per unit of 2 hours. During the production of 1,000 units, the actual labor rate was $22 per hour, and the actual labor hours per unit were 1.8 hours. Calculate the direct labor rate variance and the direct labor efficiency variance. Interpret the variances and discuss their implications for cost control.

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