Given the following information for The Pelican Inn, what is the direct labor time variance? Actual...
Given the following information for The Pelican Inn, what is the direct labor time variance?
| Actual housekeeping staff hours worked | 760 |
| Standard staff hours for rooms cleaned | 800 |
| Standard staff pay rate per hour | $12.50 |
| Actual staff pay rate per hour | $13.00 |
a.$500 unfavorable
b.$400 unfavorable
c.$(20) favorable
d.$(500) favorable
Homework Answers
|
Labor time variance = (SH-AH) *SR = (800 - 760) * 12.50 = 40 * 12.50 = (500) Favourable Option D is the answer |
|
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