Direct Labor Variances Bellingham Company produces a product that requires 7 standard direct labor hours per unit at a standard hourly rate of $8.00 per hour. If 4,600 units used 33,500 hours at an hourly rate of $7.60 per hour, what is the direct labor (a) rate variance, (b) time variance, and (c) cost variance? Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. a. Direct labor rate variance 9,270 x Favorable b. Direct labor time france Unfavorable c. Direct labor cost variance 36,000 26,730 X x $ Favorable Check My Work Unfavorable variances can be thought of as increasing costs ) Favorable variances can be thought of a decreasing costs (act) The labor cost variance is the difference between the actual and standard labor cost Leaming Objective 3. Check My Work 3 more Check My Work uses remaining Previous Next > All work saved Save and Exit Submit Assignment for Grading