Labor price variance, or direct labor rate variance, measures the difference between the budgeted hourly rate and the actual rate you pay direct labor workers who directly manufacture your products.

Discover how efficiency variance reveals the gap between expected and actual inputs in production and its impact on labor, materials, and costs.

For every small business, efficiency matters. Getting more – more units produced, more sales, more revenue – for less – less waste, less labor, less cost – is every business leader's dream. However, ...