Variance Type	Formula	Calculation	Result
Direct Labor Rate	(Standard Rate - Actual Rate) × Actual Hours	($25 - $30) × 2,000	$10,000 F
Direct Labor Efficiency	(Standard Hours - Actual Hours) × Standard Rate	(2,200 - 2,000) × $25	$5,000 U

Perform a variance analysis for the direct labor costs at Ford Motor Company's assembly plant, given standard labor rate of $25 per hour and actual labor cost of $30 per hour for producing 2,000 units. Discuss the implications of each variance.