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The standards for product C54L specify 4.5 DLH per unit @ $12.40 per DLH. Last month 1,560 units of product C54L were produced using 7,000 direct labor-hours at a total direct labor wage cost of $86,100.
a. What was the labor rate variance for the month?
b. What was the labor efficiency variance for the month?
Your friend Mark suggested that you should open an Individual Retirement Account. He said that an IRA is a great way to save because you do not have to pay tax on the income from the investment and you get a tax deduction for your contribution.
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