Question
When we compare Actual Productionof company with regard to standard budget we found out the below result The total variance of direct work = 5000$
When we compare Actual Productionof company with regard to standard budget we found out the below result
The total variance of direct work = 5000$ Unfavorable; Labor efficiency variance= 72000 $ Unfavorable, Labor rate variance= 67,000$favorable
Please interpret these labor variances? what management could do to align the labor variance back in line with the standard?
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Managerial Accounting
Authors: Ray H Garrison, Alan Webb, Theresa Libby
11th Canadian Edition
1259275817, 978-1259275814
