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Problem 1: Assembly line workers at Ivanhoe Manufacturing worked a total of 9200 direct labor hours to produce 37600 units. The standard for producing one unit is 15 minutes at a wage rate of $10.4. If the actual wage rate was $10.90 per direct labor hour, Ivanhoe's direct labor efficiency variance is
Option 1: $2080 favorable.Option 2: $2080 unfavorable.Option 3: $2180 favorable.Option 4: $2180 unfavorable.
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