A company incurred the following production variances for product X during February: Direct material price variance...

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A company incurred the following production variances for product X during February: Direct material price variance Direct material quantity variance Direct labor efficiency variance Direct labor rate variance Variable overhead rate variance Variable overhead efficiency variance $10,000 Favorable $15,000 Unfavorable $20,000 Favorable $25,000 Unfavorable $12,500 Unfavorable $11,000 Unfavorable What is a possible reason for the labor rate variance based on these results? A company incurred the following production variances for product X during February: Direct material price variance Direct material quantity variance Direct labor efficiency variance Direct labor rate variance Variable overhead rate variance Variable overhead efficiency variance $10,000 Favorable $15,000 Unfavorable $20,000 Favorable $25,000 Unfavorable $12,500 Unfavorable $11,000 Unfavorable What is a possible reason for the labor rate variance based on these results?

Answer rating: 100% (QA)

Answer Based on the given information the labor rate variance for product X is 15000 un... View the full answer