Santiesteban Corporation
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Santiesteban Corporation's standard wage rate is $18.00 per direct labor-hour (DLH) and according to the standards, each unit of output requires 8.8 DLHs. In March, 9,300 units were produced, the actual wage rate was $12.40 per DLH, and the actual hours were 66,300 DLHs.
The Labor Efficiency Variance for March would be recorded as a:
a) Debit of $282,220.
b) Debit of $279,720.
c) Credit of $282,220.
d) Credit of $279,720.
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