Question
Brown Sugar Corporation collected the following actual results for the current month: Actual amounts: Units produced 5,100 Direct labor cost (8,000 hours) $48,000 Budgeted production
Brown Sugar Corporation collected the following actual results for the current month:
Actual amounts:
| Units produced | 5,100 |
| Direct labor cost (8,000 hours) | $48,000 |
Budgeted production and standard costs were:
| Budgeted production | 5,300 |
| Direct labor | 2 hrs./unit at $8.00/hr. |
What is the direct labor efficiency variance?
A.
$13,200
favorable
B.
$17,600
favorable
C.
$17,600
unfavorable
D.
$13,200
unfavorable
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
