Use the following data to find the direct labor efficiency variance if the company produced 3,500 units during the period. direct labor standard (4 hrs. @ $7.00/hr.) $ 28.00 per unit actual hours worked 11,850 actual rate per hour $ 7.50

efficiency variance  $15,050.00  FAVORABLE

Explanation:

std  hours             14,000.00

actual hours              11,850.00

std rate                            $7.00

difference                2150.00

efficiency variance  $15,050.00

standar hours: 4hs per unit times 3,500 units produced during the period

                         equal to 14,000 hours

The diference is positive, so the variance is favorable