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A firm performs oil changes checks for cars. One Saturday, 160 cars were serviced, and...

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Question

Accounting

A firm performs oil changes checks for cars.

One Saturday, 160 cars were serviced, and 38 hours of direct labor were used. Direct labor price variance was $19 (unfavorable).

If the firm's standard price for direct labor is $7 per hour, what is the actual direct labor price?

(Hint: think about the direct labor price variance formula.)

Group of answer choices

$6.67 per hour

$9.00 per hour

Cannot be determined from this information.

$7.50 per hour

Answer & Explanation Solved by verified expert
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