The wages budget for the last period was based on a standard repair time of 30 minutes per unit and a standard wage rate of 50 per hour. The actual…

CA Intermediate · Cost and Management Accounting · MTP · May 2024
The wages budget for the last period was based on a standard repair time of 30 minutes per unit and a standard wage rate of 50 per hour. The actual data for the last period are as follows: Number of units = 30,000 Labour rate variance = 7,500 (A) Labour efficiency variance = Nil From the information find out the actual rate of wages per unit
(A) A. 50
(B) B. 25.50
(C) C. 50.50
(D) D. 25.25

Suggested Answer and Working Notes:

Correct Answer: Option (D)

D. 25.25

Topics: Budgets and Budgetary Control

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