The calculation of the labor efficiency variance is:
A)Standard hourly rate multiplied by (standard hours minus actual hours).
B)Standard hours multiplied by (standard rate minus actual rate).
C)Actual labor hours multiplied by (standard rate minus actual rate).
D)Actual rate multiplied by (standard hours minus actual hours).

Question

Quizplus · Accepted Answer

The labor efficiency variance is calculated by taking the standard hourly rate and multiplying it by the difference between standard hours and actual hours worked.

The Calculation of the Labor Efficiency Variance Is