Match each of the following formulas and phrases with the term (a-e) it describes.
-(Actual Direct Labor Hours - Standard Direct Labor 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 hours worked and the standard hours expected, multiplied by the standard rate per hour. This variance helps in analyzing the efficiency of labor usage.

Match Each of the Following Formulas and Phrases with the Term