TB MC Qu. 21-82 (Algo) Hassock Corporation produces woven...

Hassock Corporation produces woven wall hangings. It takes 4 hours of direct labor to produce a single wall hanging. Hassocks standard labor cost is $17 per hour. During August, Hassock produced 12,000 units and used 48,180 hours of direct labor at a total cost of $815,860. What is Hassocks labor rate variance for August?

Multiple Choice

• $3,188 favorable.

• $3,200 unfavorable.

• $3,200 favorable.

• $6,388 favorable.

• $3,188 unfavorable.