Midgley Corporation Makes a Product Whose Direct Labor Standards Are

question 40

Multiple Choice

Midgley Corporation makes a product whose direct labor standards are 0.8 hours per unit and $22.00 per hour. In April the company produced 6,900 units using 5,250 direct labor-hours. The actual direct labor cost was $113,925.
-The labor rate variance for April is:

• A)$1,575 U
• B)$1,656 F
• C)$1,575 F
• D)$1,656 U

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