Question: Standard Costing and Variance Analysis at IBM Values: Standard Rate per Hour: $20 Actual Hours Worked: 900 hours Standard Hours Allowed: 1,000 hours Requirements: Calculate

Standard Costing and Variance Analysis at IBM

Values:

  • Standard Rate per Hour: $20
  • Actual Hours Worked: 900 hours
  • Standard Hours Allowed: 1,000 hours

Requirements:

  1. Calculate the labor rate variance and labor efficiency variance for IBM.
  2. Analyze the causes of the labor variances identified.

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