Dillon has a standard of 2 hours of labor per unit at $12 per hour. In producing 2000 units Dillon used 3850 hours of labor at a total cost of $46970. Dillon's labor quantity variance is

A) $770 U.
B) $770 F.
C) $1800 F.
D) $1930 F.

Question

Rachel Cosentino · Accepted Answer

Final Answer : C, Explanation :  Standard labor hours per unit = 2Standard rate per hour = $12Standard cost per unit = 2 x $12 = $24Actual hours of labor = 3850Actual cost of labor = $46970Actual cost per unit = $46970 / 2000 = $23.485Labor Quantity Variance = (Actual Hours - Standard Hours) x Standard Rate= (3850 - 4000) x $12= $1800 F

Dillon has a standard of 2 hours of labor per unit at $12 per hour. In producing 2000 units Dillon used 3850 hours of labor at a total cost of $46970. Dillon's labor quantity variance is

A) $770 U.
B) $770 F.
C) $1800 F.
D) $1930 F.

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Learning Objectives

Related questions

Dillon has a standard of 2 hours of labor per unit at $12 per hour. In producing 2000 units Dillon used 3850 hours of labor at a total cost of $46970. Dillon's labor quantity variance isA) $770 U.B) $770 F.C) $1800 F.D) $1930 F.

Definitions

Learning Objectives

Learning Objectives

Related questions

Dillon has a standard of 2 hours of labor per unit at $12 per hour. In producing 2000 units Dillon used 3850 hours of labor at a total cost of $46970. Dillon's labor quantity variance is

A) $770 U.
B) $770 F.
C) $1800 F.
D) $1930 F.