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Alvarado Company produces a product that requires 7 standard direct labor hours per unit at a standard hourly rate of $18.00 per hour. If 5,200
Alvarado Company produces a product that requires 7 standard direct labor hours per unit at a standard hourly rate of $18.00 per hour. If 5,200 units used 35,700 hours at an hourly rate of $18.72 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.
Line Item Description | Amount | Variance |
---|---|---|
a. Direct labor rate variance | $fill in the blank 1 | FavorableUnfavorableUnfavorable |
b. Direct labor time variance | $fill in the blank 3 | FavorableUnfavorableFavorable |
c. Direct labor cost variance |
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