Question

Carpenter wages are 30 per hour. Payroll costs are 3 per hour and benefits are 5 per hour. How much is the direct labor standard cost per hour?

Answer 1

30 per hour

Step-by-step explanation:

The answer it's 30/hour because only the wages are related to the time taken to produce a unit, the others cost are overhead costs, it means that the Payroll cost it's fixed and not dependant of the time tu produce a unit, and the benefits could be a bono at the end of the year that neither varies with the quantities of units.

The only costs associated to production are the wages.