Question 5

Annapolis Company completes job #601 which has a standard of 600 labor hours at a standard rate of $18.20 per hour.The job was completed in 510 hours and the average actual labor rate was $19.70 per hour.What is the labor rate variance?A negative number indicates an favorable variance and a positive number indicates an unfavorable variance.

Question 6

Annapolis Company completes job #601 which has a standard of 650 labor hours at a standard rate of $18.00 per hour.The job was completed in 640 hours and the average actual labor rate was $19.30 per hour.What is the labor efficiency (quantity) variance?A negative number indicates an favorable variance and a positive number indicates an unfavorable variance.