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what is the correct answer? please show work The budget for May called for production of 9,000 units. Actual output for the month was 8,500
what is the correct answer? please show work
The budget for May called for production of 9,000 units. Actual output for the month was 8,500 units with total direct materials cost of $127,500 and total direct labor cost of $77,775. The direct labor standards call for 45 minutes of direct labor per unit at a cost of $12 per direct labor-hour. The direct materials standards call for one pound of direct materials per unit at a cost of $15 per pound. The actual direct labor-hours were 6,375. Variance analysis of the performance for the month of May would indicate: a. $7,500 favorable materials efficiency variance. b. $1,275 favorable direct labor efficiency variance. C. $1,275 unfavorable direct labor efficiency variance. d. $1,275 unfavorable direct labor price varianceStep by Step Solution
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