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Business, 26.11.2019 00:31 dawsoncollins4117

Labor variances cinturon produces high-quality leather belts. the company's plant in boise uses a standard costing system and has set the following standards for materials and labor: leather (3 strips @ $4)$12.00 direct labor (0.75 hr. @ $12)9.00 total prime cost$21.00 during the first month of the year, boise plant produced 92,000 belts. actual leather purchased was 287,500 strips at $4.80 per strip. there were no beginning or ending inventories of leather. actual direct labor was 79,500 hours at $13.00 per hour. required: break down the total variance for labor into a rate variance and an efficiency variance using the columnar and formula approaches.

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