Tip top corp produces a product that requires 8 standard


Question: Tip Top Corp. produces a product that requires 8 standard hours per unit at a standard hourly rate of $14 per hour. If 4,000 units required 30,700 hours at an hourly rate of $14.7 per hour, what is the direct labor (a) rate variance, (b) time variance, and (c) cost variance? Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

a. Direct labor rate variance $

b. Direct labor time variance $

c. Direct labor cost variance $

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Accounting Basics: Tip top corp produces a product that requires 8 standard
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