The following labor standards have been established for a particular product:

Standard labor hours per unit of output8.3 hours

Standard labor rate$ 12.10 per hour

The following data pertain to operations concerning the product for the last month:

Actual hours worked6 100 hours

Actual total laborcost$71,370

Actual output900 units

a.What were labor variances for the month? Clearly indicateFavourable and Unfavourable.

b. Overhead is applied on the basis of direct labor hours:

Standard labor hours per unit of output8.3 hours

Standard variable overhead costs per hour $ 2.10 per hour

Required. Determine the overhead variances.

c. prepare the journal entries to record the labour costs for the period