📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    Question

    Standard hours for actual production = 5,000 hours;

    Actual hours worked = 5,500; Std rate per hour = ₹80. Calculate Labour Efficiency Variance.
    A ₹60,000 A Correct Answer Incorrect Answer
    B ₹45,000 A Correct Answer Incorrect Answer
    C ₹40,000 F Correct Answer Incorrect Answer
    D ₹50,000 A Correct Answer Incorrect Answer
    E ₹60,000 F Correct Answer Incorrect Answer

    Solution

    • LEV = (Std hours – Actual hours) × Std rate = (5,000 – 5,500) × 80 = –₹40,000 = ₹40,000 Adverse.

    Practice Next
    More Accounts Questions
    ask-question