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Widget Works produces widgets and adopts a standard cost system. Producing one widget requires a standard of 2.1 labor hours and the standard wage rate

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Widget Works produces widgets and adopts a standard cost system. Producing one widget requires a standard of 2.1 labor hours and the standard wage rate for a worker is $8.70 per hour. During July, Widget Works produced 8,600 widgets, and paid its workers $148,220 for a total of 16,800 hours. a. Calculate the direct labor rate variance. (Do not round your intermediate calculations. Indicate the effect of variance by selecting "Favorable", "Unfavorable", or "None" for no effect (.e., zero variance).) Rate Variance b. Calculate the direct labor efficiency variance (Indicate the effect of variance by selecting "Favorable". "Unfavorable", or "None" for no effect (i.e., zero variance).) Efficiency Variance

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