A Company Is Setting Its Direct Materials and Direct Labor

question 54

Multiple Choice

A company is setting its direct materials and direct labor standards for its leading product.Direct material costs from the supplier are $7 per square foot,net of purchase discount.Freight-in amounts to $0.10 per square foot.Basic wages of the assembly line personnel are $19 per hour.Payroll taxes are approximately 25% of wages.How much is the direct labor cost standard per hour? (Round your answer to the nearest cent.)

• A) $4.75
• B) $19.00
• C) $23.75
• D) $30.75

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Definitions:

Conceptual Reasoning

The ability to use abstract thinking to understand complex concepts, identify patterns, and solve problems.

Participant Observation

A qualitative research method where the researcher becomes actively involved in the community or context being studied to gain deeper insight.

Research Method

Systematic and standardized procedures for collecting and analyzing data to understand and interpret various phenomena.

Dependent Variable

In research, this is a variable that is expected to change as a result of manipulation of the independent variable.