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Adler Industries uses a standard cost system. Adler has established the following standards for one ...

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Adler Industries uses a standard cost system. Adler has established the following standards for one ...

Adler Industries uses a standard cost system. Adler has established the following standards for one unit of product: standard labor of 0.25 hour and standard wage rate of $12 per hour. During January, Adler used 5,000 hours of direct labor and paid $62,500 in wages in producing 18,700 units.

Required:

Calculate the direct labor efficiency variance and indicate whether the variance is favorable or unfavorable.

Textbook

Managerial Accounting

Edition: 4^th

Author: Davis

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