What direct labor efficiency variance for accounting period

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Question 1: During a recent accounting period a company produced 1,000 units of Item Q and 400 units of Item R. The standard direct labor is 4 hours for each unit of Item Q and 6 hours for each unit of Item R. The standard cost for one hour of direct labor is $20 per hour. The actual direct labor for the accounting period was 6,500 hours at $19 per hour. The direct labor efficiency variance for the accounting period was:

Option a. $1,900 Favorable

Option b. $1,900 Unfavorable

Option c. $2,000 Favorable

Option d. $2,000 Unfavorable

Reference no: EM132567251

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