The following data relate to direct labor costs for the current period: Standard costs
36,000 hours at $22.00
Actual costs
35,000 hours at $23.00
The direct labor time variance is

A) $36,000 unfavorable
B) $35,000 unfavorable
C) $23,000 favorable
D) $22,000 favorable

Direct Labor Time Variance

The difference between the actual hours worked and the standard hours expected, multiplied by the standard labor rate.

Actual Costs

The real costs incurred corresponding to specific operations or transactions, as opposed to estimated or budgeted costs.

Standard Costs

Predetermined costs for the production of goods or services, used as a benchmark to measure actual performance and efficiency of operations.