Sanders Tax Services prepares tax returns for senior citizens. The standard in terms of (direct labor) time spent on each return is 4 hours. The direct labor standard wage rate at the firm is $13.50 per hour. Last month, 3,580 direct labor hours were used to prepare 900 tax returns. Total wages were $50,120. Read the requirements. ……... Requirement 1. What is the actual (direct labor) wage rate per hour paid last month? (Round your answer to the nearest cent.) The actual (direct labor) wage rate per hour paid last month is

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Sanders Tax Services prepares tax returns for senior citizens. The standard in terms of (direct labor) time spent on each return is 4 hours. The
direct labor standard wage rate at the firm is $13.50 per hour. Last month, 3,580 direct labor hours were used to prepare 900 tax returns. Total
wages were $50,120.
Read the requirements.
Requirement 1. What is the actual (direct labor) wage rate per hour paid last month? (Round your answer to the nearest cent.)
The actual (direct labor) wage rate per hour paid last month is
Requirements
1. What is the actual (direct labor) wage rate per hour paid last month?
2. What is the direct labor rate variance?
3. What is the direct labor efficiency variance?
4.
How might the direct labor rate variance for the firm last month be causing the
direct labor efficiency variance?
X
Transcribed Image Text:Sanders Tax Services prepares tax returns for senior citizens. The standard in terms of (direct labor) time spent on each return is 4 hours. The direct labor standard wage rate at the firm is $13.50 per hour. Last month, 3,580 direct labor hours were used to prepare 900 tax returns. Total wages were $50,120. Read the requirements. Requirement 1. What is the actual (direct labor) wage rate per hour paid last month? (Round your answer to the nearest cent.) The actual (direct labor) wage rate per hour paid last month is Requirements 1. What is the actual (direct labor) wage rate per hour paid last month? 2. What is the direct labor rate variance? 3. What is the direct labor efficiency variance? 4. How might the direct labor rate variance for the firm last month be causing the direct labor efficiency variance? X
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