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Blossom Company standard labor cost of producing one unit of Product DD is 3 . 4 hours at the rate of $ 1 0 .
Blossom Company standard labor cost of producing one unit of Product DD is hours at the rate of $ per hour. During August, hours of labor are incurred at a cost of $ per hour to produce units of Product DD
a
Compute the total labor variance.
Total labor variance $
Neither favorable nor unfavorable
Unfavorable
Favorable
b
Compute the labor price and quantity variances.
Labor price variance $
Neither favorable nor unfavorable
Unfavorable
Favorable
Labor quantity variance $
Unfavorable
Favorable
Neither favorable nor unfavorable
c
Compute the labor price and quantity variances, assuming the standard is hours of direct labor at $ per hour.
Labor price variance $
Unfavorable
Neither favorable nor unfavorable
Favorable
Labor quantity variance $
Unfavorable
Neither favorable nor unfavorable
Favorable
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