The formula you provided, standard rate × (actual hours –standardhours allowed), is used to compute the variance in labor costs. It is commonly known as the labor ratevarianceformula.The labor rate variance measures the difference between the actual hours worked and the standard hours allowed,multipliedby the standard rate.By comparing the actual hours worked to the standard hours allowed and applying the standard rate, the formula calculates the difference in cost resulting from deviations in laborefficiencyor rate. This variance helps businesses evaluate their labor costs and assess the efficiency of their workforce.The labor efficiency variance measures the difference between the actual hours worked and the standard hours allowed, multiplied by the standard rate. It reflects the impact of labor productivity or efficiency on costs. If the actual hours worked are more or less than the standard hours allowed, the labor efficiency variance will indicate whether the labor was used more or less efficiently thanexpected.To clarify, here are the different components of labor variances in standard costing:Labor Rate Variance: This variance measures the difference between the actual wagerateand the standard wage rate, multiplied by the actual hours worked. The formula is (actual rate - standard rate) × actual hours.Labor Efficiency Variance: This variance measures the difference between the actual hours worked and the standard hours allowed, multiplied by the standard rate. The formula is (actual hours - standard hours) × standard rate.Learn more aboutvariancehere:brainly.com/question/31432390#SPJ11...

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