Answered

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The standard cost of direct labor per unit is calculated by:_______
A. multiplying the standard quantity of direct labor by the standard price of direct labor.
B. multiplying the actual quantity of direct labor by the standard price of direct labor.
C. dividing the standard quantity of direct labor by the standard price of direct labor.
D. adding the standard quantity of direct labor to the standard price of direct labor.

Sagot :

Tundexi

Answer:

A. multiplying the standard quantity of direct labor by the standard price of direct labor.

Explanation:

Standard cost of direct labor = Standard quantity*Standard price. Standard cost of direct labor per hour are calculated and compared with the Actual cost of direct labor per hour and multiplied by Actual hours used to calculate direct labor rate variance.

So, option A (multiplying the standard quantity of direct labor by the standard price of direct labor) is correct.

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