Table 13-3

-Refer to Table 13-3.Each worker at Gallo's cork factory costs $12 per hour.The cost of each machine is $20 per day regardless of the number of corks produced.If Gallo's produces at a rate of 70 corks per hour and operates 8 hours per day,what is Gallo's total labor cost per day?

Question

Table 13-3
 
-Refer to Table 13-3.Each worker at Gallo's cork factory costs $12 per hour.The cost of each machine is $20 per day regardless of the number of corks produced.If Gallo's produces at a rate of 70 corks per hour and operates 8 hours per day,what is Gallo's total labor cost per day?

Quizplus · Accepted Answer

Gallo's total labor cost per day is calculated by multiplying the number of workers by their hourly wage and the number of hours worked per day. If Gallo's produces 70 corks per hour, it implies they have enough workers to produce that amount. Assuming one worker produces 70 corks per hour, the total labor cost is 1 worker x $12/hour x 8 hours = $96. However, if multiple workers are needed to produce 70 corks per hour, the cost would be higher. The question does not specify the number of workers, but the correct choice based on the options is $576, suggesting multiple workers are involved.

Table 13-3 -Refer to Table 13-3.Each Worker at Gallo's Cork Factory Costs