What is the direct labor efficiency variance

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Question - The actual direct labor wage rate is $8.50 and 4,500 direct labor-hours were actually worked during the month. The standard direct labor wage are is $8.00 and the standard quantity of hours allowed for the actual level of output was 5,000 direct labor hours. What is the direct labor efficiency variance?

a. $4000 favorable

b. $4000 unfavorable

c. $ 4,500 unfavorable

d. $4,500 favorable

Reference no: EM131804155

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