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Stafford Company uses standard costs for its manufacturing division. Standards specify 0.2 direct labor hours per unit of product. The allocation base for variable overhead
Stafford Company uses standard costs for its manufacturing division. Standards specify 0.2 direct labor hours per unit of product. The allocation base for variable overhead costs is direct labor hours. At the beginning of the year, the static budget for variable overhead costs included the following data: Production volume 6000 units Budgeted variable overhead costs $13,500 Budgeted direct labor hours 620 hours At the end of the year, actual data were as follows: Production volume 4100 units Actual variable overhead costs $ 15,100 Actual direct labor hours 505 hours How much is the standard cost per direct labor hour for variable overhead? (Round your answer to the nearest cent) Select one A 516 46 per direct labor hour 3.52177 per direct labor hour C. 524 35 per direct labor hour D.520.73 per direct labor hour
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