Direct labor rate standard is $11.55.

long dash

Direct labor efficiency standard is 2.5 hours per unit.

long dash

Budgeted production is 1,200 units.

long dash

Production required 2,910 direct labor hours at a cost of $33,174.

long dash

Actual production is 1,150 units.

What is the direct labor efficiency variance?

A.

$1,039.50 Favorable

B.

$404.25 Unfavorable

C.

$1,039.50 Unfavorable

D.

$404.25 Favorable