The following direct labor standards have been established for product N30A:
|
Standard direct labor hours |
3.3 hours per unit of N30A |
|
Standard direct labor wage rate |
$10.50 per hour |
The following data pertain to the most recent month’s operations during which 400 units of product N30A were made:
|
Actual direct labor hours worked |
1,100 |
|
Actual direct labor wages paid |
$11,385 |
Required:
a. What was the labor rate variance for the month?
b. What was the labor efficiency variance for the month?
c. Prepare a journal entry to record direct labor costs during the month, including the direct labor variances.