# Question: direct labor variances the following data relate to labor cost...

###### Question details

Direct Labor Variances

The following data relate to labor cost for production of 4,300 cellular telephones:

Actual: | 2,930 hrs. at $14 | |

Standard: | 2,880 hrs. at $14.3 |

**a.** Determine the direct labor rate variance,
direct labor time variance, and total direct labor cost variance.
Enter a favorable variance as a negative number using a minus sign
and an unfavorable variance as a positive number.

Rate variance | $ | |

Time variance | $ | |

Total direct labor cost variance | $ |

**b.** The employees may have been less-experienced
or poorly trained, thereby resulting in a labor
rate than planned. The lower level of experience or training may
have resulted in efficient performance. Thus, the
actual time required was than standard.