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Direct Labor Variances The following data relate to labor cost for production of 3,700 cellular telephones: Actual: Standard: 2,480 hrs. at $14.60 2,440 hrs. at

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Direct Labor Variances The following data relate to labor cost for production of 3,700 cellular telephones: Actual: Standard: 2,480 hrs. at $14.60 2,440 hrs. at $14.80 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 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

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