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Earl Company's direct labor costs for the month of January follow: Actual direct labor hours 18,000 Standard direct labor hours 19,000 Direct labor rate variance--unfavorable
Earl Company's direct labor costs for the month of January follow:
Actual direct labor hours | 18,000 |
Standard direct labor hours | 19,000 |
Direct labor rate variance--unfavorable | $ 1,800 |
Total payroll | $117,000 |
What was Earl's direct labor efficiency variance?
a. | $6,500 favorable |
b. | $6,400 unfavorable |
c. | $1,800 favorable |
d. | $6,400 favorable |
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