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Labor Rate Variance Overview, Formula & Causes

Labor Rate Variance Overview, Formula & Causes

Understand what labor rate variance is. Learn the definition of labor rate variance and get to know how to calculate labor rate variance with formula and examples.

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8 21 1 Consider the following information: Actual direct labor hours Standard direct labor hours The direct-labor rate variance is: Total actual direct labor cost 241,500 Direct-labor efficiency variance, favorable3,200 17,250 U.20,700 U. 20,700 F.21,000 F. 34,500 None of these. 35,000

8 21 1 Consider the following information: Actual direct labor hours Standard direct labor hours The direct-labor rate variance is: Total actual direct labor cost 241,500 Direct-labor efficiency variance, favorable3,200 17,250 U.20,700 U. 20,700 F.21,000 F. 34,500 None of these. 35,000

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