Direct Labor Variances Tip Top Corp. produces a product that requires 3 standard hours per unit at a standard hourly rate of $20 per hour. If 6,000 units required 17,500 hours at an hourly rate of $21 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 b. Direct labor time variance c. Direct labor cost variance