Exercise 11-8

The standard labor cost in the production of a pair of Marshall Brand athletic shoes is 0.40 hours at $14.00 per hour. During the month of June, 26,790 pairs were produced. Actual labor costs were $114,000 for 7,600 hours. Compute the labor rate and labor efficiency variances for the month of June.(Round actual wage rate to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 125. Enter all variances as a positive number.)

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Labor Rate Variance

Labor Efficiency Variance

Please confirm if it is favorable, unfavorable, neither unfavorable nor favorable in the column