When auto manufacturer BMW purchased the Rolls-Royce brand name, BMW had to hire and train a new
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Question:
When auto manufacturer BMW purchased the Rolls-Royce brand name, BMW had to hire and train a new staff of assembly workers. The new workers were paid $20 per hour, worked a total of 7600 hours, and produced 1700 cars. BMW budgeted for a standard labor rate of $26 per hour and 2.25 direct labor hours per car. What is the direct labor efficiency variance for the Rolls-Royce division?
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