Question: Lulu i s looking a t a monthly performance report for her lemonade stand for last month. She has been provided with the following standard
Lulu looking a monthly performance report for her lemonade stand for last month. She has been provided with the following standard cost per batch lemonade:
CostStandard Quantity per batch PriceDirect Materials pounds$ per poundDirect Labor hours$ per hour
Manufacturing overhead allocated the basis machine hours. Last month, Lulu's lemonade stand produced batches lemonade and incurred the following costs:
Purchased pounds materials a cost $ per pound.
Used pounds materials production. goods and work process inventories can ignored
Worked direct laborhours a cost $ per hour.
What Lulu's labor rate variance for last month?
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