Answer:
The correct answer is B.
Explanation:
Giving the following information:
Hardigree Corporation makes a product that has the following direct labor standards:
Standard direct labor-hours 0.3 hours per unit
Standard direct labor rate $ 23.00 per hour
In May the company's budgeted production was 8,900 units, but the actual production was 8,800 units. The company used 2,820 direct labor-hours to produce this output. The actual direct labor cost was $70,218.
Actual rate= 70,218/2,820= 24.9
Direct labor price variance= (Standard Rate - Actual Rate)*Actual Quantity
Direct labor price variance= (23 - 24.9)*2,820= 5,358 unfavorable
