Answer:
Direct labor rate variance = $162,000 U
Direct labor efficiency variance = $48,000 U
Variable overhead rate variance = $240,000 F
Variable overhead efficiency variance = $72,000 U
Explanation:
As per the data given in the question,
Direct labor efficiency variance = (Standard hour - Actual hour) × Standard rate
-$48,000 = (60,000 * 1.2 - 73,600) × Standard rate
Standard rate = -$48,000 ÷ -1,600
= 30
Direct labor rate variance = (Standard rate × Actual hour - Direct labor)
= (30 × 73,600 - $2,370,000)
= -$162,000
= $162,000 U
Direct labor efficiency variance = $48,000 U
Variable overhead rate variance = (Direct labor hour × Actual hour - actual variable overhead)
= ($45 × 73,600 -$3,072,000)
= $240,000 F
Variable overhead efficiency variance = (72,000 - 73,600) × $45
= $72,000 U
