The Following Direct Labor Information Pertains to the Manufacture of Product

question 42

Multiple Choice

The following direct labor information pertains to the manufacture of product Glaze: What is the standard direct labor cost per unit of product Glaze? (CPA adapted)
$$\begin{array} { | l | l | } \hline \text { Time required to make one unit } & 3 \text { direct labor } \\\text { hours } \\\hline \text { Number of direct workers } & 25 \\\hline \text { Number of productive hours per week, } & 36 \\\text { per worker } & \$ 700 \\\hline \text { Weekly wages per worker } & 30 \% \text { of wages } \\\hline \text { Workers' benefits treated as direct labor } \\\text { costs } & \\\hline\end{array}$$

• A) $19.44.
• B) $25.28.
• C) $58.33.
• D) $75.83.

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Definitions:

Palearctic Realm

A biogeographic realm covering parts of Northern Africa, all of Europe and Asia north of the Himalayas, and the northern and central parts of the Arabian Peninsula.

United States

A federal republic in North America composed of 50 states, a federal district, five major territories, and various possessions.

Chaparral Biome

A biome characterized by dense, evergreen shrubs and small trees, Mediterranean climate with wet winters and dry summers, and frequent wildfires.

Grasses

A family of plants characterized by long, slender leaves and seed-bearing florets; commonly found in meadows and cultivated lawns.