Direct Labor Variances La Barte Company manufactures commuter bicycles from recycled materials. The following data for July of the current year are available: Quantity of direct labor used 610 hrs Actual rate for direct labor $14.00 per hr Bicycles completed in July 290 bicycles Standard direct labor per bicycle 2 hrs Standard rate for direct labor 514.30 per hr a. Determine the direct labor rate variance, 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? Direct Labor Variances The following data relate to labor cost for production of 22,000 cellular telephones! Actual: 4,220 hrs. at $44.50 Standard 4,160 hrs, at $46.00 a. Determine 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 Rate variance Time variance Total direct labor cost variance b. The employees may have been less-experienced workers who were paid less than more experienced workers or poorly trained, thereby resulting in a labor rate than planned. The lower level of experience or training may have resulted in efficient performance. Thus, the actual time required was than standard Instructions W Wil Company has determined that the variable overhead rate is $4.80 per direct labor hour in the Fabrication Department. The normal production capacity for the Fabrication Department is 9,000 hours for the month Fored costs are budgeted at $59.400 for the month Required: A Prepare a monthly factory overhead exible budget for 8,000, 9.000 and 10.000 hours of production, B. How much overhead would be applied to production it 8,000 hours were used in the department during the month