EFT Debits are processed in the evening. Intecon provides access to a service that gives the business or organisation the ability to verify the bank account details prior to loading the payment instruction.
Whereas the cost variances for direct materials, direct labor, and variable overhead all use the same two formulas, the cost variances for fixed overhead are different, and do not use these formulas at all.
The standard cost per labor hour is $20, so the calculation of its labor efficiency variance is: (750 Actual hours - 500 Standard hours) x $20 Standard rate = $5,000 Labor efficiency variance. Related Podcasts. Episode 111 of the Accounting Best Practices podcast discusses variance analysis.he variance is useful for spotlighting those areas in the production process that are using more labor hours than anticipated. This variance is calculated as the difference between the actual labor hours used to produce an item and the standard amount that should have been used, multiplied by the standard labor rate.