Vidyalelo
Commerce · Q649

Costing

Graduate and Post Graduate · Commerce · question 649

Q649

If budgeted total direct labour hours are 3800 and budgeted direct labour cost is 480000, then budgeted direct labour cost rate will be

A.
$126.32 per labour hour
Answer
B.
$128.32 per labour hour
C.
$130 per labour hour
D.
$132 per labour hour

Answer: Option A

Solution

Answer: Option A
Solution:
Budgeted direct labour cost rate = Budgeted direct labour cost ÷ Budgeted total direct labour hours
= 126.32 per labour hour