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If the company produces 1000 units with 1930 direct labor

Question - A Company has determined that the standard for labor is 2 direct labor hours per unit produced. The variable overhead application rate is $1 per direct labor hour. If the company produces 1000 units with 1930 direct labor hours and the actual variable overhead is $2200, what is the variable overhead efficiency variance?

a. $70 favorable

b. $70 unfavorable

c. $80 favorable

d. $80 unfavorable

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Accounting Basics: If the company produces 1000 units with 1930 direct labor

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Accounting Basics: If the company produces 1000 units with 1930 direct labor

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