Brief Exercise 24.6 (Static) Computing Labor Cost Variances (LO24-1, LO24-3, L024-5) A popular product manufactured by Party-On! is a festively decorated punch bowl. The company's standard cost system calls for 0.08 hour of direct labor per bowl, at a standard wage rate of $17. During September, Party-On! produced 1,200 of these bowls at an actual direct labor cost of $2160 for 144 direct labor hours. a. What is the actual wage rate per hour? b. Compute the labor rate and efficiency variances for the month. . Assuming the company's direct labor standards are reasonable, was the actual wage rate paid to workers in September (versus the standard rate) a beneficial strategy? Complete this question by entering your answers in the tabs below. Required A Required B Required C What is the actual wage rate per hour? Actual labor rate per hour Required A Required B Required C Compute the labor rate and efficiency variances for the month. Note: Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance). Labor rate variance Favorable Labor efficiency variance Unfavorable Required A Required B # Required C Assuming the company's direct labor standards are reasonable, was the actual wage rate paid to workers in September (versus the standard rate) a beneficial strategy? Was the actual wage rate paid to workers in September (versus the standard rate) a beneficial strategy? - { Required B