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Borabora Company Produces 2,500 Units

Question 62

Multiple Choice

Borabora Company produces 2,500 units.Each unit was expected to require 2 labor hours at a cost of $10 per hour.Total labor cost was $52,250 for 4,750 hours worked.Direct labor is measured in labor hours.What is the direct labor quantity variance?


A) $2,500 Favorable
B) $2,500 Unfavorable
C) $2,750 Favorable
D) $2,750 Unfavorable

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