Chhom Corporation Makes a Product Whose Direct Labor Standards Are

question 397

Multiple Choice

Chhom Corporation makes a product whose direct labor standards are 0.4 hours per unit and $19.00 per hour. In November the company produced 1,800 units using 760 direct labor-hours. The actual direct labor cost was $13,300.The labor efficiency variance for November is:

• A) $700 Favorable
• B) $760 Favorable
• C) $760 Unfavorable
• D) $700 Unfavorable