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Question - The standard cost of product 5252 includes 1.9 hours of direct labor at $14.00 per hour. The predetermined overhead rate is $22.00 per direct labor hour. During July, the company incurred 5,200 hours of direct labor at an average rate of $14.30 per hour and $105,040 of manufacturing overhead costs. It produced 2,600 units.
(a) Compute the total, price, and quantity variances for labor.
(b) Compute the total overhead variance.
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