Delaware Chemical Company Cost of Goods Sold Budget

For the Month Ending June $30$

Direct materials:

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Direct Labor Variances

Glacier Bicycle Company manufactures commuter bicycles from recycled materials. The following data for October of the current year are available:

Quantity of direct labor used

$680$ hrs$.$

Actual rate for direct labor

$$10\mathrm{.}60$ per hr$.$

Bicycles completed in October

$320$ bicycles

Standard direct labor per bicycle

$2$ hrs$.$

Standard rate for direct labor

$$10\mathrm{.}80$ per hr$.$

a$.$ Determine for October the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Direct Labor Rate Variance

Direct Labor Time Variance $$ Total Direct Labor Cost Variance

b$.$ How much direct labor should be debited to Work in Process?

$