Labor Rate Variance
Formula
(Actual Rate - Standard Rate) × Actual Hours
Interactive Calculator
| Component | Value |
|---|---|
| Actual Rate | |
| Standard Rate | |
| Actual Hours | |
| Labor Rate Variance | — |
CategoryVariance Analysis
ComponentsLabor Rate Variance; Actual Rate; Standard Rate; Actual Hours
Example($16 - $15) × 5K = $5K Unfavorable
External Links
- Variance (accounting) — Wikipedia