Match each of the following formulas or descriptions with the term (a-e) it defines.
-(Actual Direct Hours - Standard Direct Hours) × Standard Rate per Hour
A)Direct materials price variance
B)Direct labor rate variance
C)Direct labor time variance
D)Direct materials quantity variance
E)Budgeted variable factory overhead

Question

Quizplus · Accepted Answer

This formula calculates the direct labor time variance, which measures the difference between the actual time worked and the standard time allowed for the units produced, multiplied by the standard rate per hour.

Match Each of the Following Formulas or Descriptions with the Term