Ask Question
31 August, 01:42

Frontera Company's output for the current period results in a $20,000 unfavorable direct labor rate variance and a $10,000 unfavorable direct labor efficiency variance. Production for the current period was assigned a $400,000 standard direct labor cost. What is the actual total direct labor cost for the current period?

+2
Answers (1)
  1. 31 August, 01:44
    0
    Answer: $430,000

    Explanation: The amount of wages and salaries paid to employees involved in the process of production is called direct labor cost. It can be computed as follows : -

    Actual total direct labor cost = Standard direct labor cost + unfavorable direct labor rate variance + unfavorable direct labor efficiency variance

    = $ 400,000 + $ 20,000 + $ 10,000

    = $430,000
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Frontera Company's output for the current period results in a $20,000 unfavorable direct labor rate variance and a $10,000 unfavorable ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers