Answer (B) is correct . The direct labor rate variance equals the actual hours used times the difference between the standard and actual rates. Consequently, the direct labor rate variance is zero [1,650 units × 3.1 actual hours × ($12 per hour standard rate – $12 per hour actual rate)].
Answer (A) is incorrect because The amount of the flexible budget overhead variance is $1,920.
Answer (C) is incorrect because The amount of the direct materials quantity variance is $4,950.
Answer (D) is incorrect because The amount of the direct materials quantity variance is $4,950.
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Ardmore’s direct labor rate variance for May is
