Information on Francona's direct labor costs for the month of August is as follows: What was the standard rate for August?

Question

Information on Francona's direct labor costs for the month of August is as follows:  What was the standard rate for August?

Quizplus · Accepted Answer

To calculate the standard rate, we need to divide the total standard direct labor cost by the total standard direct labor hours. From the given information, we know that Francona had a total standard direct labor cost of $10,600 and a total standard direct labor hours of 1,000. 
Thus, the standard rate for August would be:
$10,600 ÷ 1,000 hours = $10.60 per direct labor hour. 
Therefore, the answer is C.

Information on Francona's Direct Labor Costs for the Month of August