Direct Labor Variances

The following data relate to labor cost for production of 6,900 cellular telephones: Actual: 4,660 hrs. at $15.3 Standard: 4,590 hrs. at $15.6

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 $fill in the blank - ? u/f

Time variance $fill in the blank - ? u/f

Total direct labor cost variance - ? u/f

b. The employees may have been less-experienced or poorly trained, thereby resulting in a higher/lower labor rate than planned. The lower level of experience or training may have resulted in more/less efficient performance. Thus, the actual time required was more/less than standard.