During March,6,000 Direct Labour Hours Were Worked at a Standard

question 89

Multiple Choice

During March,6,000 direct labour hours were worked at a standard cost of $22 per hour.Suppose the direct labour rate variance for March was $16,500 favourable.What was the actual cost per direct labour hour?

• A)$17.50
• B)$20.00
• C)$22.50
• D)$25.00

Understand the concept and application of net present value in capital budgeting.

Grasp the significance of the time value of money in financial decision-making.

Learn the mechanisms and utility of the cash payback technique in evaluating investments.

Comprehend the methodology for calculating annual rate of return for investment projects.

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Definitions:

Repetitive Manufacture

A production process characterized by the continuous, sequential production of identical products without significant changes in design or setup.

Crossover Point

The point at which two different production, operation, or financial methods result in the same cost, beyond which one method becomes more cost-effective than the other.

Service Productivity

Service Productivity refers to the efficiency with which a service sector business or organization turns inputs (like labor, capital, and materials) into services, measuring output in relation to input.

Improving Techniques

Improving techniques are methods or practices aimed at enhancing the efficiency, quality, or effectiveness of a process, system, or organization.