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Fabiano Corporation Makes a Product Whose Direct Labor Standards Are

Question 5

Multiple Choice

Fabiano Corporation makes a product whose direct labor standards are 0.5 hours per unit and $23.00 per hour. In February the company produced 3,300 units using 1,640 direct labor-hours. The actual direct labor cost was $38,540.
-The labor rate variance for February is:


A) $825 U
B) $820 U
C) $820 F
D) $825 F

Correct Answer:

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