Escuchar Products, a producer of DVD players, has established a labor standard for its productdirect labor: 2 hrs at $9.65 per hour. During January, Escuchar produced 12,800 DVD players. The actual direct labor used was 25,040 hours at a total cost of $245,392.

	Required:
1.	Compute the labor rate and efficiency variances.
2.	Prepare journal entries on Jan. 31 for all activities relating to labor.

(Appendtx 1OA) Lahor Vartances, Inurnal Entries nstractions Chart of Accounts Labor Variances Joanal Instruntinn Chart ot Ascone Esuchar Fredus. a producer of DVD players has estblehed a ister standard tor ts product-tirecr labor 2 hrs st SEeper hour Dsring January. Esoucher preduced 12.8t0 DVD ayes 25040 tours at a tntsloast of $245,380 he achal disect isserused w CHART OF ACCOUNTS Reaured ral Ledger Commato he jahor ato and ofiolonay varasoes 2 Prepaumal antries an Jan r ter al actte leing to Jbar REVENUE ASSETS 410 Sa Raowabla EXPENSES Preraid Inuranse 51g Coat of Coads Sols 611 Maak Pies 1 Mewiaa Vaance work in Process LFsted Gonds arane 513 Labar Eficiency Journal Labor Variances Lare Vaance Eauiemen e Varanse 1. Cansuis ator al and sey vwas 2 Fowe amal oaws on Jan 21 5ra@aidas rg o jator, Fsr he Chat oAgcousts br t wara of acpoun us sa inwance Erzera Labor rala varan 630 Wages Epense 1 shor effoierox uarianoe FaE 0 LIABILITES oERAL JOURNNL Aooounts Payable marse AIE ron MsealaserS 1 usRio Favchia Exzerae Lama 'aahie Cemmen Sook Rataned Eamna