The Standard Number of Hours That Should Have Been Worked

question 49

Multiple Choice

The standard number of hours that should have been worked for the output attained is 8,000 direct labour hours and the actual number of direct labour hours worked was 8,400.If the direct labour price variance was $8,400 unfavourable, and the standard rate of pay was $18 per direct labour hour, what was the actual rate of pay for direct labour?

• A)$17.00 per direct labour hour
• B)$15.00 per direct labour hour
• C)$19.00 per direct labour hour
• D)$18.00 per direct labour hour

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Definitions:

Consideration

In contract law, consideration refers to something of value that is exchanged between parties as part of an agreement, making the contract legally binding.

Apparent Authority

A situation where a person appears to have been given the power by a business to act on its behalf, even if no formal authority has been granted.

Manifest Consent

Clearly and unmistakably expressed agreement or approval to an action or proposal.

Authorized Act

An action that has been officially approved or sanctioned by the proper authority.