Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The Smart Garage Company uses standards to control the labour time and labour cost in the shop. The standard labour cost for a motor tune
The Smart Garage Company uses standards to control the labour time and labour cost in the shop. The standard labour cost for a
motor tuneup follows:
The record showing the time spent in the shop last week on motor tuneups has been misplaced. However, the shop supervisor recalls
that tuneups were completed during the week, and the controller recalls the following variance data relating to tuneups:
Labour rate variance
Total labour variance
Required:
Determine the number of actual labourhours spent on tuneups during the week. Round your answer to the nearest whole
number.
Actual labourhours
hours
Determine the actual hourly rate of pay for tuneups last week.
Hint A useful way to proceed would be to work from known to unknown data either by using the variance formulas or by using the
columnar format shown in Exhibit Round intermediate calculations to the nearest whole number and final answer to decimal
places.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started