Using the Labor Time Standard of 0 A) $3,960 (F)
B) $8,460 (U)
C) $3,960 (U)
D)

question 94

Multiple Choice

Using the labor time standard of 0.5 labor hour per unit and a labor cost standard of $10 per labor hour for a 10 pound bag of chocolate and the following actual cost and usage data,compute the direct labor variance.
$\begin{array}{ll}\text { Direct labor hours used } & 4,950 \text { hours } \\\text { Total cost of direct labor } & \$ 53,460 \\\text { Number of good units produced } & 9,000 \text { units }\end{array}$

• A) $3,960 (F)
• B) $8,460 (U)
• C) $3,960 (U)
• D) $8,460 (F)

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