Paradise Energy Company Produces a Product with a Direct Labor

Multiple Choice

Paradise Energy Company produces a product with a direct labor standard of 4.5 hours per unit at a rate of $13.50 per hour.During July 2,200 units were produced using 9,825 labor hours at an actual cost of $135,094.How much is the total direct labor variance for July?

A) $2,456 unfavorable
B) $1,013 favorable
C) $1,444 unfavorable
D) $3,469 favorable