Lewis Companys standard labor cost of producing one unit of Product DD is 3.8 hours at the rate of $10.9 per hour. During August, 41,500 hours of labor are incurred at a cost of $11.05 per hour to produce 10,800 units of Product DD. (a) Compute the total labor variance.

Total labor variance

$

Favorable Neither favorable nor unfavorable Unfavorable

(b) Compute the labor price and quantity variances.

Labor price variance		$		Neither favorable nor unfavorable Unfavorable Favorable
Labor quantity variance		$		Favorable Unfavorable Neither favorable nor unfavorable

(c) Compute the labor price and quantity variances, assuming the standard is 4.1 hours of direct labor at $11.20 per hour.

Labor price variance		$		Unfavorable Neither favorable nor unfavorable Favorable
Labor quantity variance		$		Unfavorable Favorable Neither favorable nor unfavorable

LINK TO TEXT

LINK TO TEXT