Data on Gantry Company's Direct Labor Costs Are Given Below

question 108

Multiple Choice

Data on Gantry Company's direct labor costs are given below:
$\begin{array}{lrr}\text { Standard direct-labor hours } & & 30,000 \\\text { Actual direct-labor hours } & & 29,000 \\\text { Direct-labor efficiency variance-favorable } & \$ & 4,000 \\\text { Direct-labor rate variance-favorable } & \$ & 5,800 \\\text { Total direct labor payroll } & \$ & 110,200\end{array}$

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What was Gantry's actual direct labor rate?

• A) $3.60
• B) $3.80
• C) $4.00
• D) $5.80

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Definitions:

Parietal Bones

A pair of bones forming the central side and upper back part of each side of the skull.

F-Distribution

A probability distribution that arises frequently in statistics, particularly in ANOVA, used to compare variances.

Degrees of Freedom

The number of independent values or quantities which can be assigned to a statistical distribution or a parameter estimation, less the number of constraints.

F-Distribution

Used in analysis of variance (ANOVA), describing the ratio of two variances drawn from normally distributed populations.