A rate of 0.42 minute per piece is set for a forging operation. The operator works on the job for a full eight-hour day and produces 1,500 pieces. Use a standard hour plan.
a. How many standard hours does the operator earn?
b. What is the operator's efficiency for the day?
c. If the base rate is $9.80 per hour, compute the earnings for the day. (
d. What is the direct labor cost per piece at this efficiency?
e. What would be the proper piece rate (rate expressed in money) for this job, assuming that the above time standard is correct?