Nantucket, Inc

question 137

Essay

Nantucket, Inc.uses a standard cost system with the following labor standards for one unit of product: standard hours, 12 minutes, and standard wage rate, $10.During December, Nantucket incurred 3,500 hours of direct labor and paid $34,000 in wages in production of 18,000 units.
Required:
Calculate the direct labor rate and efficiency variances and indicate whether the variances are favorable or unfavorable.

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Definitions:

Corporations

Entities established to conduct business, characterized by having legal rights, responsibilities, and a structure that separates them from their members.

Human Identity

encompasses the traits, experiences, relationships, and values that define a person as an individual, contributing to their sense of self and distinctiveness from others.

Active Participant

An individual who takes an engaged and contributory role in processes or activities, rather than being passive.

Dialogue

A conversation between two or more people as a feature of a book, play, or movie, or the process of engaging in conversation to resolve a dispute.