Question 22.2: Tip Top Corp. produces a product that requires 2.5 standard ...

Financial and Managerial Accounting

Tip Top Corp. produces a product that requires 2.5 standard hours per unit at a standard hourly rate of $12 per hour. If 3,000 units required 7,420 hours at an hourly rate of $12.30 per hour, what is the (a) direct labor rate variance, (b) direct labor time variance, and (c) total direct labor cost variance?

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