A manufacturing company has provided the following budgeted information relating to direct labour costs for one...

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A manufacturing company has provided the following budgeted information relating to direct labour costs for one of its products: Budget Output 560 units Labour time required per unit 2.5 hours Wage rate £14/hour At the end of the budgeting period, the following actual results were available: Actual Output 490 units Total direct labour cost £17,640 Total direct labour time 1,470 hours What were the wage rate and efficiency variances for direct labour? Wage rate Efficiency A) £2,940 Favourable £3,430 Adverse B) £1,960 Favourable £980 Adverse C) D) £1,960 Favourable £840 Adverse £2,940 Favourable £2,940 Adverse A manufacturing company has provided the following budgeted information relating to direct labour costs for one of its products: Budget Output 560 units Labour time required per unit 2.5 hours Wage rate £14/hour At the end of the budgeting period, the following actual results were available: Actual Output 490 units Total direct labour cost £17,640 Total direct labour time 1,470 hours What were the wage rate and efficiency variances for direct labour? Wage rate Efficiency A) £2,940 Favourable £3,430 Adverse B) £1,960 Favourable £980 Adverse C) D) £1,960 Favourable £840 Adverse £2,940 Favourable £2,940 Adverse

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Actual rate Total direct labour costTotal direct labor time 176401470 12 per hou... View the full answer