Question

The Chase Company’s budget for April called for production of 7,000 units. At that level of activity, direct labor was budgeted at $168,000. During April, 7,200 units were produced. Labor was paid $12.20 per hour, resulting in an unfavorable labor price variance of $2,860. The total direct labor variance was $1,660 unfavorable.

REQUIRED
A. What was the standard pay rate per direct labor hour?
B. What was the standard number of direct labor hours per unit?
C. What was the actual total number of direct labor hours during April?
D. What was the direct labor efficiency variance for April?



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  • CreatedJanuary 26, 2015
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