Question
Player MacBeth Fabrics budgeted to manufacture 1,400 curtains in February. Actual output for March was 1,575 curtains with total direct materials cost of $3,400 and
MacBeth Fabrics budgeted to manufacture 1,400 curtains in February. Actual output for March was 1,575 curtains with total direct materials cost of $3,400 and total direct labor cost of $5,250. The direct labor standard is 20 minutes per curtain at a direct labor rate of 17.50 per hour. The direct material standard is 0.75 yards of direct materials per curtain at a cost of $13 per pound. Actual direct labor hours were 275. A variance analysis for February may show a direct labor rate variance of
A.$2,506 unfavorable.
B.$438 favorable.
C.$2,506 favorable.
D.$438 unfavorable.
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