Labor Variances - An Example.
Glacier peak outfitters has the following direct labor standard for its mountain parka.
(1.2 standard hours per parka at 10.00 per hour)
last month, employees actually worked 2,500 hours at a total labor cost of 26,250 to make 2,000 parkas
210 kg. of fiberfill were purchased and used to make 2000 parkas.