What is the term used for the price variance related to direct manufacturing labor?

Direct Cost Variances and Management Control MCQs for PPSC, FPSC, NTS, and Pakistan government job tests. Select an option below, then read the explanation.

Direct Cost Variances and Management Control

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Subject
Direct Cost Variances and Management Controlaccounting-mcqs › cost-accounting-mcqs › direct-cost-variances-and-management-control
Published
9 May 2023
Last updated
28 May 2026

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Explanation

The price variance associated with direct manufacturing labor is known as the rate variance, which measures the difference between the actual hourly wage paid and the standard rate expected.

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