Standard Direct Labor Cost The controller at your shoemaking company has determined that under normal conditions, you will pay your employees $8.40 per hour, and it will take 2.6 hours of labor per pair of shoes. Given this information, calculate the standard cost of labor per pair of shoes. If required, round the standard labor per pair of shoes to the nearest cent.

Manufacturing Costs	Standard Price	x	Standard Hours per Pair	=	Standard Cost per Pair
Direct Labor	$____ per hour		____ hours		$____

Actual Direct Labor Cost During January, your shoe-making company incurred actual direct labor costs of $62,211 for 6,990 hours of direct labor in the production of 2,175 pairs of shoes. Given this information, calculate the actual cost of labor per hour. If required, round the actual cost of labor per hour to the nearest cent.

Manufacturing Costs	Actual Total Cost	/	Actual Total Hours	=	Actual Cost per Hour
Direct Labor	$____		____hours		$____

APPLY THE CONCEPTS: Conduct the labor variance analysis Illustrated Example: Calculating Labor Price and Usage Variance Complete the following graphic to compute the direct labor rate variance, the direc labor efficiency variance, and the total labor cost variance for the production of shoes (in terms of pairs). When required, enter the rates as dollars and cents. If required, use the minus sign to indicate a negative value. Actual Cost Standard Cost Actual Actual x Actua Standard Standard Standard Hours Hours Rate Rate Hours Rate X Labor Efficiency Variance Labor Rate Variance Total Labor cost Variance