Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please explain and show all work. Thank uou! Exercise 9-11 (Algo) Working Backwards from Labor Variances [L09-5] The auto repair shop of Quality Motor Company

Please explain and show all work. Thank uou!
image text in transcribed

Exercise 9-11 (Algo) Working Backwards from Labor Variances [L09-5] The auto repair shop of Quality Motor Company uses standards to control the labor time and labor cost in the shop. The standard labor cost for a motor tune-up is given below: Motor tuneup Standard Hou rs 2.50 Stand rd Rate $ 34.00 Standa rd Cost $ 85. The record showing the time spent in the shop last week on motor tune-ups has been misplaced. However, the shop supervisor recalls that 54 tune-ups were completed during the week, and the controller recalls the following variance data relating to tune-ups: Labor rate variance Labor spending variance Required: $ 350 F $ 500 U 1. Determine the number of actual labor-hours spent on tune-ups during the week. 2. Determine the actual hourly rate of pay for tune-ups last week. (Round your answer to 2 decimal places.) 1. Actual labor hours 2. Actual hourly rate 152.24 hours $ 33.50 per hour

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management Accounting Information For Decision Making

Authors: Anthony A. Atkinson

7th Edition

1618533517, 9781618533517

More Books

Students also viewed these Accounting questions

Question

3. Describe the process of a union drive and election.

Answered: 1 week ago

Question

6. What actions might make employers lose elections?

Answered: 1 week ago