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The following information pertains to direct labor costs for the month of February. This company uses a standard costing system. Standard direct labor price per
The following information pertains to direct labor costs for the month of February. This company uses a standard costing system.
Standard direct labor price per hour | $15.00 |
Actual direct labor price per hour | $13.50 |
Labor price variance | $18,000 favorable |
Actual output | 1,000 units |
Standard quantity (per actual production) | 10,000 hours |
How many actual direct labor hours were worked during February for this company?
(Hint: think about the direct labor price variance formula)
Group of answer choices
2,000 hours
1,200 hours
12,000 hours
10,000 hours
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