Match each of the following formulas or descriptions with the term (a-e) it defines.
-(Actual Rate per Hour - Standard Rate per Hour) × Actual Hours
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 rate variance, which measures the difference between the actual rate paid and the standard rate multiplied by the actual hours worked.

Match Each of the Following Formulas or Descriptions with the Term