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Calculating the Derect Labor Rate Variance and the Direct Labor Eifidency Variance Guillermo's Oi and Lube Company is a service company that clfers oil changes

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Calculating the Derect Labor Rate Variance and the Direct Labor Eifidency Variance Guillermo's Oi and Lube Company is a service company that clfers oil changes and lubrication for automobiles and light trocks, On average. Gualermo has found that a typical oil change takes 24 minutes and 6.2 quarts of oil are used. In June, Guillermo's oil and Lube had 990 eil changes. Guillermo's Oil and Lube Company provided the following information for the production of cll changes during the month of June: Actuat number of oil changes performed: 990 Actual number of dirext labor hours worked: 358 hours Actual rate paid per direct labor hour: 515.50 Standard rate per direct labor hour: $15.00 Reguired: 1. Calculate the direct labor rate variance (LRV) and the-direct labor efficency vatiance (LEV) for lune using the formiala approach. Diroct labotrate variance (URW) Direct laboc efficiencr variance (LEV) 3 2. Calculate the direct labor rate variance (LAV) and the direct labor etficiency variance (tEv) for June. Direct labor rate variance (LRV) Direct labor efficiency variance (UEV) 1 3. Calculate the total direst labor variance for ou changes for June. Roquired: 1. Calculate the direct labor rate variance (LAV) and the direct labor effidency variance (LEV) for June using the formula approach. Diect labor tate variance (tRW) Direct labor etticiency variance (LEV) - 2. Calculate the direct labor rate variance (LRV) and the direct labor efficiency variance (LEV) for lune. Direct labor rate variance (LrV) Direct labor efficiency variance (LEV) 1 3. Calculate the total direct labor variance for oil changes for June. 4. What if the actual wage rate paid in June was $14.507 what inpact would that have had on the direct labor rate variance ItRV? On the direct labor efficiency variance (CEV?? Indicate what the new variances would be below, if required, round vour answers to thei nearest cent Direct labor rate Variance (LRV): Direct labor efficiency variance f(Ev)

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