Based on the standard price, the actual price and the actual hours, the labor rate variance for Bramble Corp. is $720 Unfavorable.
What is the labor rate variance?
Labor rate variance refers to the difference between the amount that a company budgeted to pay workers and the amount it will actually pay them.
The labor rate variance can be found as:
= (Standard price - Actual price) x Actual hours
Solving for labor rate variance gives:
= (17 - 17.30) x 2,400 hours
= 0.3 x 2,400
= $720 Unfavorable
The Variance is unfavorable because standard price is less than actual price.
This means that the company incurred more costs with the labor than they anticipated and so the budgeted income will be less than the actual income thanks to the higher labor expenses.
In conclusion, the labor price variance for Bramble Corp. is $720 Unfavorable.
Find out more on types of variances at https://brainly.com/question/13980740.
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