Tout Corporation Makes a Product That Has the Following Direct

Multiple Choice

Tout Corporation makes a product that has the following direct labor standards: The company budgeted for production of 6,400 units in October, but actual production was 6,500 units. The company used 610 direct labor-hours to produce this output. The actual direct labor rate was $21.80 per hour. The labor efficiency variance for October is:

A) $872 F
B) $872 U
C) $880 U
D) $880 F