Question - ABC Company reports the following information for the most recent period when 2,750 units were produced.
Cost Standard Actual
Materials 2 lbs. @ $5.00 per pound 7,000 pounds purchased for $34,650
Labor 0.50 hours @ $8.00 per hour 1,400 hours @ $7.95 per hour
Refer to ABC Company. Calculate the direct labor efficiency variance.
1. $200 U
2. $130 U
3. $270 U
4. $70 F