Question

During January, 7,175 direct labor hours were worked at a standard cost of $20 per hour. If the direct labor rate variance for January was $17,500 favorable, the actual cost per direct labor hour must be

Answer 1

the actual cost per direct labor hour must be $17.56

What is direct labor?

A direct labor cost is a component of a wage bill or payroll that can be specifically and consistently assigned to or associated with the production of a product, a specific work order, or the provision of a service.

Variable labor, fixed labor, direct labor, and indirect labor are the four types of labor costs.

Labor cost is an important value that finance and accounting professionals calculate to determine a company's direct and indirect labor costs. Wages and benefits for employees directly involved in the production of the product or service commodity are included in the direct cost of labor.

To know more about direct labor follow the link:

brainly.com/question/26245657

#SPJ4