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.