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# Standard Costs - Dana Corp's Operations

Please assist with the attached problem.

Selected data relating to Dana Corp's operations for April are given below:

Number of units produced.... 500 Units
Number of actual direct labor hours worked... 1,400 Hours
Total actual direct labor cost.... \$10, 850

The standard cost card indicates that 2.5 hours of direct labor time is allowed per unit, at a rate of \$8 per hour.

a. Complete the following analysis of direct labor cost for the month:

Actual Hours of Input Actual Hours of Input Standard Hours allowed for
at the Actual Rate at the Standard Rate Output at the Standard Rate
(AH x AR) (AH x SR) (SH x SR)
_____________ _____________ _____________
_____________ _____________ _____________
_____________ _____________ _____________

b. Redo the above analysis of direct labor cost for the month, using the following formulas:

Labor rate variance = AH(AR - SR)

Labor efficiency variance = SR(AH - SH)

#### Solution Preview

a. Complete the following analysis of direct labor cost for the month:

Actual Hours of Input Actual Hours of Input Standard Hours allowed for
at the Actual Rate at the Standard Rate Output at the Standard Rate
(AH x AR) (AH x SR) (SH x ...

#### Solution Summary

This solution provides step by step calculations for labor costs.

\$2.19