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The Following Data Relate to Direct Labor Costs for the Current

Question 124

Multiple Choice

The following data relate to direct labor costs for the current period of Executive Inc.:  Standard costs 6,000 hours at $12.00 Actual costs 7,500 hours at $11.60\begin{array} { l l } \text { Standard costs } & 6,000 \text { hours at } \$ 12.00 \\\text { Actual costs } & 7,500 \text { hours at } \$ 11.60\end{array} ? What is the direct labor rate variance?


A) $3,000 unfavorable
B) $3,000 favorable
C) $2,400 unfavorable
D) $2,400 favorable

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