The following data relate to labor cost for production of 5,500 cellular telephones:
Actual: .... 3,650 hrs. at $15.20 ..... $55,480
Standard: .. 3,710 hrs. at $15.00 .... $55,650
(a) Determine the rate variance, time variance, and total direct labor cost variance.
(b) Discuss what might have caused these variances.