Erie Company manufactures a mobile fitness device called the Jogging Mate. The company uses standards to control its costs. The labor standards that have been set for one Jogging Mate are as follows: Standard Hours Standard Rate per Hour Standard Cost 27 minutes $ 5.80 $ 2.61 During August, 9,380 hours of direct labor time were needed to make 19,600 units of the Jogging Mate. The direct labor cost totaled $52,528 for the month.

4. What is the labor rate variance and the labor efficiency variance?