Bulluck Corporation makes a product with the following standard costs: The company reported the following results concerning this product in July.
The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.The labor rate variance for July is:
A) $764 Favorable
B) $764 Unfavorable
C) $840 Unfavorable
D) $840 Favorable

Question

Bulluck Corporation makes a product with the following standard costs:  The company reported the following results concerning this product in July.
 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.The labor rate variance for July is:
A) $764 Favorable 
B) $764 Unfavorable 
C) $840 Unfavorable 
D) $840 Favorable

Quizplus · Accepted Answer

The Answer of Bulluck Corporation makes a product with the following standard costs:  The company reported the following results concerning this product in July.
 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.The labor rate variance for July is:
A) $764 Favorable 
B) $764 Unfavorable 
C) $840 Unfavorable 
D) $840 Favorable

Bulluck Corporation Makes a Product with the Following Standard Costs