Unformatted text preview: $13/hr. Gina wants to know the impact on her standard cost. What is the labor variance (assuming 120hrs is standard for the weekly level of output)? Problem Significance : The cost of labor was $300 greater than the standards explained by wage increase. However, the employees were able to produce the same level of output using less hours (20). The overall favorable means that the week’s production cost $100 more than the standards require. Solution...
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This note was uploaded on 04/21/2011 for the course ACTG 211 taught by Professor Staff during the Spring '08 term at Ill. Chicago.
- Spring '08
- Managerial Accounting