Question

Hassock Corp. produces woven wall hangings. It takes 2 hours of direct labor to produce a single wall hanging. Bartels' standard labor cost is $12 per hour. During August, Bartels produced 10,000 units and used 21,040 hours of direct labor at a total cost of $250,376. What is Bartels' labor efficiency variance for August?
A.$12,480 favorable.
B.$10,376 unfavorable.
C.$14,584 unfavorable.
D.$4,160 favorable.
E.$12,480 unfavorable.

Answer

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