The Savage Company makes mugs for which the following standards have been developed:

 

Direct Materials Direct Labor Standard Inputs Expected For Each Unit of Output 5 ounces 1.5 hours $630 Unfavorable $560 Unfavorable $560 Favorable Standard Price Expected Per Unit of Input $2 per ounce $8 per hour Production of 400 mugs was expected in July, but 440 mugs were actually completed. Direct materials purchased and used were 2,100 ounces at an actual price of $2.30 per ounce. Direct labor cost for the month was $5,310, and the actual pay per hour was $9.00. What is the direct labor quantity variance for July? $630 Favorable Direct Materials Direct Labor Standard Inputs Expected For Each Unit of Output 5 ounces 1.5 hours $630 Unfavorable $560 Unfavorable $560 Favorable Standard Price Expected Per Unit of Input $2 per ounce $8 per hour Production of 400 mugs was expected in July, but 440 mugs were actually completed. Direct materials purchased and used were 2,100 ounces at an actual price of $2.30 per ounce. Direct labor cost for the month was $5,310, and the actual pay per hour was $9.00. What is the direct labor quantity variance for July? $630 Favorable