ZuoTi.Pro
Question

The standard time for an operation in Work-for-Pay Manufacturing Company is 0.25 hour per unit. There...

The standard time for an operation in Work-for-Pay Manufacturing Company is 0.25 hour per unit. There are 8 working hours in a day. The base (day rate) pay for an operator of this operation is $14 per hour. Based on these information and using a 120% incentive pay system, what is the daily pay (in $ per day) for an operator who produced 45 units in 8 working hours?

a. 112.00

b. 157.50

c. 166.60

d. Not enough information given to answer this question

business   Operations-Management   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Answer: C (166.60)

Rationale:

Time take to produce 1 unit = 0.25 hours

Number of working hours = 8 hours

Number of units that can be produced in 8 hours = 8/0.25

Number of units that can be produced in 8 hours = 32

But the workers are able to produce 45 units in 8 hours.

Number of extra units produced = 45 - 32 = 13

Time it would have taken to produce extra 13 units = 13 × 0.25 hours

Time it would have taken to produce extra 13 units = 3.25 hours

Therefore, workers will get paid normal wage for 8 hours and will receive incentives for 3.25 hours.

Normal hourly wage = $ 14

Incentives = 120%

Total pay = ($14 × 8) + ($14 × 3.25 × 120%)

Total pay = $ 166.60

0 0
Add a comment
Know the answer?
Add Answer to:
The standard time for an operation in Work-for-Pay Manufacturing Company is 0.25 hour per unit. There...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • The standard time for an operation in Work-for-Pay Manufacturing Company is 0.25 hour per unit. There...

    The standard time for an operation in Work-for-Pay Manufacturing Company is 0.25 hour per unit. There are 8 working hours in a day. The base (day rate) pay for an operator of this operation is $14 per hour. Based on these information and using a 120% incentive pay system, what is the daily pay (in $ per day) for an operator who produced 45 units in 8 working hours? a. 112.00 b. 157.50 c. 166.60 d. Not enough information given...

  • The standard direct labor cost per unit for a company was $21 (= $14 per hour...

    The standard direct labor cost per unit for a company was $21 (= $14 per hour * 1.5 hours per unit). During the period, actual direct labor costs amounted to $136.500, 9.600 labor-hours were worked, and 5.600 units were produced. Required: Compute the direct labor price and efficiency variances for the period. (Indicate the effect of each varlance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select elther option.) Price variance Efficiency...

  • The U.R. Good Company produces a product using standard costs as follows: a. Standard cost per unit Materials 7 kilos at ₱ 3.50 per kilo Labor 8 hours at ₱ 1.75 per kilo Fixed MOH ₱ 1.15 per hour or ₱ 9.20 per unit Variabl

    The U.R. Good Company produces a product using standard costs as follows:a.  Standard cost per unit     Materials   7 kilos at ₱ 3.50 per kilo     Labor   8 hours at ₱ 1.75 per kilo     Fixed  MOH   ₱ 1.15 per hour or ₱ 9.20 per unit     Variable MOH   ₱ 0.85 per hour or ₱ 6.80 per unitb.  Overhead is applied on direct labor hoursc.  Actual performance (1 month)     Volume produced   800     Labor hours    6,300     Overhead   ₱13,200     Material Cost ...

  • The Ramirez Company uses standard costing in its manufacturing plant for auto parts. The standard cost...

    The Ramirez Company uses standard costing in its manufacturing plant for auto parts. The standard cost of a particular aut part, based on a denominator level of 4.100 output units per year, included 6 machine-hours of variable manufacturing overhead at $8 per hour and 6 machine-hours of fixed manufacturing overhead at $15 per hour. Actual output produced was 4,500 units. Variable manufacturing overhead incurred was $260,000. Fixed manufacturing overhead incurred was $385,000 Actual machine-hours were 28,500. Read the requirements Journal...

  • The Lopez Company uses standard costing in its manufacturing plant for auto parts. The standard cost of a particular aut...

    The Lopez Company uses standard costing in its manufacturing plant for auto parts. The standard cost of a particular auto part, based on a denominator level of 4,000 output units per year, included 6 machine-hours of variable manufacturing overhead at $8 per hour and 6 machine-hours of fixed manufacturing overhead at $15 per hour. Actual output produced was 4,400 units. Variable manufacturing overhead incurred was $245,000. Fixed manufacturing overhead incurred was $373,000. Actual machine-hours were 28,400. 1. Prepare an analysis...

  • fill in blank Regular Pay: Overtime Pay: $8.50 per hour 1.5 x regular pay for hours...

    fill in blank Regular Pay: Overtime Pay: $8.50 per hour 1.5 x regular pay for hours over 40 Name: Frank Smith DAY DATE IN MON 6 Apr 8:00 TUES 7 -Apr 8:00 WED 8-Apr 7:45 THUR 9.Apr 7:45 FRI 10 Apr 8:15 11.Apr 10:00 Frank Smith Hours Rate Amount OUT IN OUT HOURS 12:00 12:30 6:00 12:30 1:00 5:00 11:15 11:45 4:30 11:30 12:00 4:30 1:00 1:30 3:00 Total Hours Worked Regular Overtime SAT Gross Earnings

  • During the process, there 4.6 there nade on working day Tasha Enterprise produces Keropok Lekor. During...

    During the process, there 4.6 there nade on working day Tasha Enterprise produces Keropok Lekor. During the 3 workers involve. Wages are pay base on system below i. Basic pay RM20.00 per day - payment made on ii. Overtime calculation base on 1 14 Bonus given base on time saving during working ho (Bonus given based on Halsey Scheme). Table below shown the information about the workers on Mei 2012 Workers Off day Working Hour (minutes) Unit produce (unit) 640...

  • A manufacturing operation working 8 hrs a day produces 500 units. These units were produced by...

    A manufacturing operation working 8 hrs a day produces 500 units. These units were produced by five workers who used 300 pounds of materials. Workers have an hourly wage of KWD10, and material cost is KWD3 per pound. The Overhead is 1.5 times labor cost. a. Compute the labor productivity in Units/labor-hrs b. Compute the multifactor productivity of the operation

  • Dvorak Company produced 1,600 units of product that required 6.5 standard hours per unit. The standard...

    Dvorak Company produced 1,600 units of product that required 6.5 standard hours per unit. The standard fixed overhead cost per unit is $2.60 per hour at 11,300 hours, which is 100% of normal capacity. Determine the fixed factory overhead volume variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Factory Overhead Volume Variance Dvorak Company produced 1,600 units of product that required 6.5 standard hours per unit. The...

  • Sheffield Company has gathered the following information about its product. Direct materials. Each unit of product...

    Sheffield Company has gathered the following information about its product. Direct materials. Each unit of product contains 5.00 pounds of materials. The average waste and spoilage per unit produced under normal conditions is 0.80 pounds. Materials cost $1 per pound, but Sheffield always takes the 5.00% cash discount all of its suppliers offer. Freight costs average $0.25 per pound. Direct labor. Each unit requires 1.70 hours of labor. Setup, cleanup, and downtime average 0.20 hours per unit. The average hourly...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT