The per-unit standards for direct labor are 2 direct labor hours at $12 per hour

Question

The per-unit standards for direct labor are 2 direct labor hours at $12 per hour. If in producing 1,200 units, the actual direct labor cost was $25,600 for 2,000 direct labor hours worked, the total direct labor variance is
$960 unfavorable.
$3,200 favorable.
$2,000 unfavorable.
$3,200 unfavorable.

The standard rate of pay is $10 per direct labor hour. If the actual direct labor payroll was $39,200 for 4,000 direct labor hours worked, the direct labor price (rate) variance is
$800 unfavorable.
$800 favorable.
$1,000 unfavorable.
$1,000 favorable. The per-unit standards for direct labor are 2 direct labor hours at $12 per hour. If in producing 1,200 units, the actual direct labor cost was $25,600 for 2,000 direct labor hours worked, the total direct labor variance is The standard rate of pay is $10 per direct labor hour. If the actual direct labor payroll was $39,200 for 4,000 direct labor hours worked, the direct labor price (rate) variance is
$960 unfavorable.
$3,200 favorable.
$2,000 unfavorable.
$3,200 unfavorable.

Explanation / Answer

$3,200 favorable.

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