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Vernon Company manufactures a product B-30 with the following unit standards related to direct labor: Standard Hours: 5 hours per unit Standard Rate: $12 per
Vernon Company manufactures a product B-30 with the following unit standards related to direct labor:
Standard Hours: 5 hours per unit
Standard Rate: $12 per hour
Partial production data for the most recent month are shown below:
Production (units)- Budget: 850. Actual: 960
Direct Labor Hours- Budget: 4,250 Actual: ?
An analysis of results for the month included the following variances:
Direct labor rate variance: $3,672 Unfavorable
Direct Labor Efficiency Variance: $5,760 Favorable
What is the actual direct labor rate per hour?
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