Standard Direct Labor Cost The controller at your shoemaking company has determined that under normal conditions, you pay your employees $8.40 per hour, and it will take 2.6 hours of labor per pair of shoes. Given this information, calculate the standard cost of labor per pair of shoes. If required, round the standard labor per pair shoes to the nearest cent. Manufacturing Costs Standard Price x Standard Hours per Pair = Standard Cost per Pair Direct Labor per hour hours Feedback Check My Work Use the standard price and standard hours values shown to compute the standard labor cost per pair. Actual Direct Labor Cost During August, your shoe-making company incurred actual direct labor costs of $62,211 for 6,990 hours of direct labor in the production of 2,175 pairs of shoes. Given this information, calculate the actual cost of labor per hour. If required, round the actual cost of labor per hour to the nearest cent. Manufacturing Costs Actual Total Cost Actual Total Hours Actual Cost per Hour Direct Labor hours

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Standard Direct Labor Cost
The controller at your shoemaking company has determined that under normal conditions, you pay your employees $8.40 per hour, and it will take 2.6 hours of labor per pair of shoes. Given this information, calculate the standard cost of labor
per pair of shoes. If required, round the standard labor per pair of shoes to the nearest cent.
Manufacturing Costs
Standard Price
x Standard Hours per Pair
= Standard Cost per Pair
Direct Labor
per hour
hours
Feedback
V Check My Work
Use the standard price and standard hours values shown to compute the standard labor cost per pair.
Actual Direct Labor Cost
During August, your shoe-making company incurred actual direct labor costs of $62,211 for 6,990 hours of direct labor in the production of 2,175 pairs of shoes. Given this information, calculate the actual cost of labor per hour. If required, round
the actual cost of labor per hour to the nearest cent.
Manufacturing Costs
Actual Total Cost
Actual Total Hours
Actual Cost per Hour
Direct Labor
hours
Transcribed Image Text:Standard Direct Labor Cost The controller at your shoemaking company has determined that under normal conditions, you pay your employees $8.40 per hour, and it will take 2.6 hours of labor per pair of shoes. Given this information, calculate the standard cost of labor per pair of shoes. If required, round the standard labor per pair of shoes to the nearest cent. Manufacturing Costs Standard Price x Standard Hours per Pair = Standard Cost per Pair Direct Labor per hour hours Feedback V Check My Work Use the standard price and standard hours values shown to compute the standard labor cost per pair. Actual Direct Labor Cost During August, your shoe-making company incurred actual direct labor costs of $62,211 for 6,990 hours of direct labor in the production of 2,175 pairs of shoes. Given this information, calculate the actual cost of labor per hour. If required, round the actual cost of labor per hour to the nearest cent. Manufacturing Costs Actual Total Cost Actual Total Hours Actual Cost per Hour Direct Labor hours
Expert Solution
Answer

Answer)

Calculation of Standard Cost of Labor per Pair of Shoes

Standard Cost of Labor per pair of Shoes = Standard rate per labor hour X Standard Labor hours per pair

Standard Cost of Labor per pair of Shoes = $ 8.40 per labor hour X 2.60 Labor hours per pair

Standard Cost of Labor per pair of Shoes = $ 21.84 per pair of Shoes

 

 

Final Answer: Standard Labor cost per pair of Shoes is $ 21.84.

 

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