During the month of June, Rigodon Manufactures produced 1,500 units. Actual direct labor required 4,580 hours at an actual total cost of P34, 808. According to the standard cost card, 3 hous of direct labor are required per unit of product at a standard cost of P8 per labor hour. 

42. What is total labor cost variance for June?

43. What is labor efficiency variance for June?

44. What is the labor rate variance for June?

45. What is the standard cost of labor per unit of product?

 

Dilag Company uses a standard cost system. According to the standards, 4 units must be produced in an hour of direct labor, with a standard labor rate of P14.70 per hour. During a given month, 1,600 units were produced requiring 360 hours at a total cost of P5,400.

46. How much is he labor efficiency variance?

47. How much is the labor rate variance?

 

Actual Production - 12,000

Standard Labor cost per unit of Product - P6.25

Actual wages paid,29,800 DLR@ P2.55 per hour (this is 102% of the standard labor rate per hour)

48. The labor efficiency variance is:

49. The labor rate variance is:

50. Baduy Company makes one product and uses a standard cost system. The following data are accumulated for the month of July

Standard Actual Budgeted

Direct Labor hours 98,000 95,000 100,000

Direct Labor costs P294,000 P294,500 P300,000

Production (units) 38,000 38,000 40,000

What is the labor rate variance for July:

51. Hukay Company has determined that when Ditch Digging equipment is used the labor time per foot of underground line installed should five minutes and that the standard hourly rate should be P4. In June, two ditch digging equipment units instaled 4,800 feet of line in 350 hours at a total labor cost of P1,435.