Valley View Company Produces Hiking Boots

Multiple Choice

Valley View Company produces hiking boots.The direct labor standard for each pair of boots is 1 hour at a cost of $20.00 per direct labor hour.During the month of May,Valley View Company used 2,500 direct labor hours to produce 2,350 pairs of boots.Total direct labor cost for May was $48,000.What is the labor rate variance for May?

A) $2,000 favorable
B) $2,000 unfavorable
C) $1,000 favorable
D) $1,000 unfavorable