Question: Use this information for Flapjack Corporation to answer the question that follows. Flapjack Corporation had 7,849 actual direct labor hours at an actual rate of
Use this information for Flapjack Corporation to answer the question that follows.
Flapjack Corporation had 7,849 actual direct labor hours at an actual rate of $12.10 per hour. Original production had been budgeted for 1,100 units, but only 975 units were actually produced. Labor standards were 7.8 hours per completed unit at a standard rate of $13.02 per hour.
The direct labor rate variance is
$7,221.08 unfavorable
$7,221.08 favorable
$2,922.99 unfavorable
$2,922.99 favorable
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