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Which variance would tell managers how much of the total labor variance is due to using a different amount of worker hours than​ anticipated?

User Chank
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1 Answer

5 votes

Answer:

direct labor efficiency variance

Step-by-step explanation:

The two labor variances are:

  1. Direct labor efficiency variance: how much of the total labor variance occurred because more or less labor hours were used.
  2. Direct labor rate variance : how much of the total labor variance occurred because the actual wage paid to labor was more or less than budgeted.
User Eduardo Irias
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