Find what is the direct labor rate variance

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Question 1: A job was budgeted to require 5 hours of labor per unit at $12.00 per hour. The job consisted of 8,100 units and was completed in 37,500 hours at a total labor cost of $489,800. What is the direct labor rate variance?

Option 1: $36,000 unfavorable.

Option 2: $39,800 favorable.

Option 3: $39,800 unfavorable.

Option 4: $36,000 favorable.

Option 5: $3,800 unfavorable.

Reference no: EM132527043

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