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Active Lifestyle Beverages gathered the following information for Job #928: Standard Total Cost Actual Total Cost Direct labor: Standard: 540 hours at $6.75/hr. 3,645 Actual:

Active Lifestyle Beverages gathered the following information for Job #928:

Standard Total Cost Actual Total Cost
Direct labor:
Standard: 540 hours at $6.75/hr. 3,645
Actual: 500 hours at $6.50/hr. 3,250

What is the direct labor rate variance?

A.

$135 favorable

B.

$125 unfavorable

C.

$125 favorable

D.

$135 unfavorable

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