Q.2 The following direct labor standards have been established for product K-19:

	Standard direct labor-hours........	1.2	hours per unit of K-19
	Standard direct labor wage rate.	$11.50	per hour

The following data pertain to the most recent months operations during which 3,860 units of product K-19 were made:

	Actual direct labor-hours worked	4,600
	Actual direct labor wages paid......	$53,360

Required:

a. What was the labor rate variance for the month?

b. What was the labor efficiency variance for the month?