Glenwood Manufacturing is establishing its direct labor standards. The basic direct labor wage rate is $12.50 per hour. Employment taxes are 8% of the basic wage rate. Fringe benefits are $3.50 per direct labor hour. What is the standard rate per direct labor-hour? a) $13.50 b) $14.85 c) $15.00 d) $17.00

College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter7: Employee Earnings And Deductions
Section: Chapter Questions
Problem 1E: Determine the gross pay for each employee listed below. a. Clay Jones is paid time-and-a-half for...
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Glenwood Manufacturing is establishing its direct labor standards. The
basic direct labor wage rate is $12.50 per hour. Employment taxes are 8%
of the basic wage rate. Fringe benefits are $3.50 per direct labor hour.
What is the standard rate per direct labor-hour?
a) $13.50
b) $14.85
c) $15.00
d) $17.00
Transcribed Image Text:Glenwood Manufacturing is establishing its direct labor standards. The basic direct labor wage rate is $12.50 per hour. Employment taxes are 8% of the basic wage rate. Fringe benefits are $3.50 per direct labor hour. What is the standard rate per direct labor-hour? a) $13.50 b) $14.85 c) $15.00 d) $17.00
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