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Drury manufactures specialty electronic circuitry through a unique photo-electronic process. One of the primary products, Model Y, has a standard labor time of 0.5 hour
Drury manufactures specialty electronic circuitry through a unique photo-electronic process. One of the primary products, Model Y, has a standard labor time of 0.5 hour and a standard labor rate of $10 per hour. During June, the following activities pertaining to direct labor for Y were recorded: direct labor hours used, 3,000; direct labor cost, $27,000; units of Y manufactured, 5,000. The Labor rate variance and Labor efficiency variance are: Select one: a. Labor rate variance $2,000 F, Labor efficiency variance $3,500 U b. Labor rate variance $1,000 F, Labor efficiency variance $3,500 F c. Labor rate variance $2,000 F, Labor efficiency variance $1,000 F d. Labor rate variance $3,000 F, Labor efficiency variance $5,000 U
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