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Calculation of Labor Variances.
Scheer Company's standard labor cost of producing one unit of product DD is 4 hours at the rate of $14.16 per hour. During August, 40,800 hours of labor are incurred at a cost of $14.28 per hour to produce 10,000 units of product DD.
Compute the total labor variance.
$______
_____
Compute the labor price and quantity variances.
Labor price variance
Labor quantity variance
Repeat the previous question, assuming the standard is 4.2 hours of direct labor at $14.46 per hour.
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