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The standard labour hours for all products manufactured by a company include an allowance for idle time. Idle time is budgeted to be 5% of total hours worked. Each unit of product G requires an input of 9.5 active labour hours. The labour rate is $12 per hour.
The standard labour cost shown on the standard cost card for one unit of product G will be
Suggested Answer: B
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42 comments · newest first
TA
Tamar
11 months ago
Really? I thought it would be lower than that!
SA
Sanjuana
11 months ago
No way, it's definitely not $120!
HE
Helene
11 months ago
I think the answer is C, $119.70.
JU
Junita
12 months ago
Wait, does that include idle time?
NO
Novella
12 months ago
The active hours for product G are 9.5.
DA
Daron
1 year ago
I think the total hours worked should be 9.5 hours plus the 5% idle time. I just can't recall the exact calculation method we used.
AR
Art
1 year ago
I feel like I might be overthinking this. Was the idle time included in the total hours or just the active hours?
CR
Crista
1 year ago
This question seems similar to the practice problems we did on labour costs. I think I need to multiply the active hours by the rate, then add the idle time.
BA
Barrie
1 year ago
I remember we calculated standard costs in class, but I'm not sure how to factor in the idle time here.
SO
Socorro
1 year ago
Okay, I think I've got it now. The key is remembering to account for the 5% idle time allowance when calculating the total labor hours per unit. Once we have the total hours, it's just a simple multiplication by the labor rate to get the standard labor cost. I feel confident I can tackle this type of question on the exam.
SA
Sabrina
1 year ago
No problem, I've got this. The question states that the active labor hours per unit is 9.5, and the idle time allowance is 5% of the total hours worked. So we just need to calculate the total hours worked, which will be 9.5 / 0.95 = 10 hours. Then multiply that by the $12 labor rate to get the standard labor cost of $120 per unit.
GL
Glory
1 year ago
I'm a bit confused about the idle time allowance. Do we need to factor that in when calculating the total labor hours per unit? And how exactly does that affect the standard labor cost?
AM
Amber
1 year ago
Hmm, this seems straightforward enough. We just need to calculate the total labor hours per unit, including the 5% idle time allowance, and then multiply that by the labor rate. I think I can handle this.
BR
Broderick
1 year ago
Okay, let's think this through step-by-step. We need to find the standard labor cost for one unit of product G, and the question gives us the key information we need - the active labor hours per unit, the labor rate, and the idle time allowance.
TE
Tequila
1 year ago
I'm not entirely confident about this, but I think the main thing is whether the package creator can modify the installed components or not. I'll go with B and C just to be safe.
GL
Glory
1 year ago
I think the private cloud with Platform as a Service is the way to go here. It gives the development team the control they need over their environment, while still allowing multiple companies to access and integrate the application.
LI
Lina
1 year ago
I vaguely remember we discussed these API commands, but I'm not sure which one is specifically for modifying settings.
LA
Lashaun
1 year ago
Idle time, eh? I bet the answer is something like 'the cost of doing nothing'... *laughs*
NI
Nicolette
1 year ago
Ah, the old 'include the idle time' trick. Gotta watch out for that one. *chuckles*
VE
Veronika
1 year ago
D) $120.00
RE
Rebecka
1 year ago
C) $119.70
HO
Hoa
1 year ago
C) $119.70
DE
Deane
1 year ago
B) $114.00
BE
Bethanie
1 year ago
A) $10.00
ER
Eric
1 year ago
B) $114.00
CH
Chandra
1 year ago
A) $10.00
CE
Celestina
1 year ago
I love these questions where you have to think it through step-by-step. It's like a little puzzle, you know?
AS
Ashley
1 year ago
C) $119.70
EN
Ena
1 year ago
B) $114.00
AN
Anika
1 year ago
A) $10.00
AR
Art
1 year ago
Wait, do we have to include the idle time in the standard labor cost? That's a tricky one.
ER
Ernest
1 year ago
C) $119.70
JE
Jeff
1 year ago
B) $114.00
NI
Nickole
1 year ago
A) $10.00
JE
Jennie
2 years ago
Hmm, let's see... 9.5 active labor hours, 5% idle time, and $12 per hour. Seems like a straightforward calculation to me.
GE
Georgene
1 year ago
No, that would be too high considering the idle time allowance.
RO
Roosevelt
1 year ago
B) $114.00
IO
Iola
1 year ago
That's correct. The idle time is already factored into the standard labor cost.
BE
Becky
1 year ago
A) $10.00
ED
Edward
2 years ago
I'm not sure about this one. Can someone explain why the answer is C) $119.70?
GI
Gianna
2 years ago
I agree with Sherill. The idle time is already included in the standard labour cost, so it should be C) $119.70.
SH
Sherill
2 years ago
I think the answer is C) $119.70.